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A bank that is a member of a national cheque clearing system. To clear a cheque means to process it so that the payee receives its value. Such systems can also involve clearing financial orders and standardized payment instructions such as standing orders.
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clearing bank UK US noun [C] (also clearer) BANKING
► in the UK, one of the main banks, that can exchange cheques and other payments between customers of other banks: »
The four clearing banks in Scotland are Bank of Scotland, Clydesdale Bank, Lloyds TSB and the Royal Bank of Scotland.
Financial and business terms. 2012.