Canadian Maple Leaf Licensing Info: FSCO (Ontario) #11363,
and serving all other provinces.
 

GLOSSARY

Canadian Financial, Real Estate and Mortgage Glossary

How often this word is used
 
^
38% - Moderately

Netting


Synonyms:offsetting, spreading
Filed Under: financial-banking
Tags: banking
 

Definition of netting

netting
1. The offsetting with a counter-party of financial obligations or payments one is owed with those one is entitled to receive, thus reducing the costs arising out of payment settlements. Netting is also used as a risk management tool to help counter-parties reduce their exposure to credit risk.

Related Terms and Acronyms:

  • credit risk   The risk of loss assumed under a financial contract that a borrower or a counter-party to a loan or other credit-related contract may default or fail to fulfill its obligations.
  • exposure   How much liability an insurer takes on when they write an insurance policy.
  • liabilities   A borrower's debts and legal obligations.
  • risk management   The methods used to identify, assess, and prioritize risk and the strategies used to manage them in the most effective and economical way possible.

Search the Glossary

Mortgage Payment Calculator
Find out exactly what you can afford to spend on your new home with our freshly redesigned and easy to use mortgage payment calculator, now with lump sum and pre-payment options, automatically generated graphs, and side-by-side mortgage comparisons.
Compare Mortgage Payments
 
Mortgage Rates
If you look for a mortgage online, you'll soon see that from one lender, bank, or broker to the next, the rates offered can be substantially different. Some high, some low. Compare the best mortgage rates and make sure your money isn't being wasted.
Mortgage Rates
 
Mortgage Brokers
Apply today and find out the kind of difference 14 years of online experience as a mortgage brokerage will make for you.
14 Years Online Experience