settlement

noun | set·tle·ment

1. : the act or process of settling

2. a : an agreement reducing or resolving differences; especially : an agreement between litigants that concludes the litigation the states finally agreed upon a settlement and a consent decree —W. J. Brennan, Jr. entered into a property settlement prior to the divorce : an agreement between litigants that concludes the litigation the states finally agreed upon a settlement and a consent decree —W. J. Brennan, Jr. entered into a property settlement prior to the divorce

   b : a formal and permanent grant or conveyance

   c : the sum, estate, or income granted or paid under a settlement if the monetary limits of a defendant's insurance policy can be discovered in order to obtain reasonable settlements —J. H. Friedenthal et al.

3. : closing settlement costs

4. : the transfer of funds between a payor bank and a collecting bank in order to complete transactions for customers