compensating balance

noun

Also compensated balance, compensation balance. a balance wheel in a timepiece, designed to compensate for variations in tension in the hair spring caused by changes in temperature.
Banking. a deposit balance that is required to be left on deposit by a company to maintain or guarantee credit.

Origin of compensating balance

First recorded in 1795–1805

Words nearby compensating balance

compensate, compensated acidosis, compensated alkalosis, compensated grade, compensated semiconductor, compensating balance, compensation, compensation culture, compensation neurosis, compensation order, compensation point