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Spot foreign exchange transactions usually settle two business days after the execution date. A primary exception is the U.S. dollar vs. the Canadian dollar, which settles the next business day.

Multi-currency payment processing occurs when your business can accept credit cards from customers in foreign currencies. If your business charges customers in more than one currency (for example in US dollars and Canadian dollars) you are doing multi-currency processing.

The settlement date for stocks and bonds is usually two business days after the execution date (T+2). For government securities and options, it's the next business day (T+1). In spot foreign exchange (FX), the date is two business days after the transaction date.

Settlement currency is the currency a vendor selects to be paid out in and the currency in which funds are sent to the vendor's bank account. You can have one settlement currency or multiple, depending on the functionality of your payment processor and the availability of accounts.

A corporate FX transaction involves a bank, on behalf of their corporate client, paying for the currency it sold at an agreed rate to another bank and receiving a different currency in return for the funds being cleared and settled in the local clearings.

For those traders who want to take their contract to expiration, there are two ways an FX contract can be settled: cash settlement or physical delivery of the currency. For many FX futures, the last trading day is generally the second business day prior to the third Wednesday of the contract month.

Local Currency Settlement (LCS) is the settlement of bilateral transactions carried out by two countries using the local currency prevailing in each country. This policy aims to reduce dependence on the US dollar currency for bilateral trade transaction settlement and maintain the stability of the local currency value.