Finance English
Banking

What is Sweep Account?

Sweep Account A bank account that automatically transfers (sweeps) amounts above or below a certain threshold into a higher interest-bearing investment or to cover shortfalls, optimizing liquidity and returns for account holders.

Source: CFA Institute, IFRS Foundation, FASB (GAAP), Basel III Framework

How is “Sweep Account” Used in Practice?

Corporations use sweep accounts to maximize daily interest by automatically transferring surplus cash into money market funds each night.

Certification Exam Relevance

CFAACCAFRM

Who Needs to Know This Term?

  • Financial Analysts
  • Bankers
  • Traders

Learn “Sweep Account” Free with Termify

Master Sweep Account and 4,071+ professional terms with native pronunciation, IPA transcriptions and career quizzes. 100% free, forever.

Download Free for iOS

Frequently Asked Questions

What is Sweep Account?

A bank account that automatically transfers (sweeps) amounts above or below a certain threshold into a higher interest-bearing investment or to cover shortfalls, optimizing liquidity and returns for account holders.

Where can I learn this term for free?

Termify is a 100% free professional English app that teaches Sweep Account and 4,071+ other industry terms with native pronunciation, IPA transcriptions and career quizzes. Available on iOS in 23 languages. No subscription, no credit card required.

Last updated: