T+N
Settlement timelineSettlement
Notation for the number of business days between transaction settlement and merchant funding, T+0 means same-day funding, T+1 next business day, T+5 five business days, etc. Mainstream EU acquirers default to T+1 or T+2; specialist verticals can run T+3 to T+7 depending on risk and rolling reserve.
In practice.
T+N shorthand is how settlement speed is quoted: the number of days between capture and funding. Each added day is working capital you finance. Fast settlement commands other concessions in a negotiation, so decide whether cash velocity or pricing matters more to your model before you optimize either.
Related terms: Settlement · Funding · Rolling reserve
Settlement