|
|
Uniform Settlement Statement |
|
|
|
 Home Site Map Add Term Search About Us Contributors |
Uniform Settlement StatementThe Standard HUD Form 1 required to be given to the borrower, lender and seller at, or prior to, settlement.Uniform Settlement Statement Similar MatchesRegular way settlementRegular way settlementIn the money and bond markets, the standard basis on which some security trades are settled is that the delivery of the securities purchased is made against payment in Fed funds on the day following the transaction. Real Estate Settlement Procedures Act (RESPA)Real Estate Settlement Procedures Act (RESPA)A federal statute requiring disclosure of certain costs in the sale of residential, improved property which is to be financed by a federally insured lender. Cash sale or settlementCash sale or settlementTransaction in which a contract is settled on the same day as the trade date, or the next day if the trade occurs after 2:30 p.m. EST and the parties agree to this procedure. Often occurs because a party is strapped for cash and cannot wait until the regular five-business day settlement. See: Settlement date. Good delivery and settlement proceduresGood delivery and settlement proceduresRefers to PSA Uniform Practices such as cutoff times on delivery of securities and notification, allocation, and proper endorsement. Rolling settlementRolling settlementSettlement is the process by which investors pay for shares they have bought and receive payment for shares they have sold. Before July 1994, this process was done by means of an 'account period', normally ten working days. All the transactions during that period were balanced against each other to produce a single figure, which was either paid to the investor or due from him, depending on whether the value of his purchases was higher or lower than the value of his sales in the period. One of the features of the account period was that transactions taking place at the beginning of it (say, Day 1) didn't have to be settled until about 14 days later, whereas transactions at the end (say Day 10) had to be settled within 4 days.In July 1994, the account period system was replaced by ten day (T+10) rolling settlement, which means that each transaction has to be settled ten days after the transaction date. This was subsequently reduced to five days (T+5) and in February 2001 was reduced to three days (T+3).These significance of rolling settlement and of shortened settlement times is that when investors sell shares, the proceeds get paid into their account quicker, and when they buy shares they have to pay for them quicker. It requires careful money management on the part of the investor. Further Suggestionssettlement dayDispute settlement mechanism Continuous net settlement (CNS) Cash settlement contracts Bank for International Settlements Settlement risk Short settlement settlement cash settlement Cash Settlement Bank for International Settlements (BIS) Exchange Delivery Settlement Price Exercise settlement amount Dispute settlement Settlement rate Immediate settlement Settlement price Skip day settlement Regular settlement Same Day Funds Settlement (SDFS) Dispute Settlement Body Settlement settlement options Settlement options Structured settlement |
|
|
|