The T+2 (Flow) settlement model means that funds from successful transactions are paid out to the client two business days after the transaction is authorized or paid by the end user.
This model is designed to create a stable and predictable settlement flow, allowing for operational controls, reconciliation, and risk management—while still providing timely access to funds.
How it works
Transactions are grouped by calendar day (00:00–23:59, UTC-6).
Each day’s transactions are settled two business days later.
Transactions processed close to or during the weekend are settled on the next available banking day, following the T+2 rule.
Daily Breakdown
Monday to Wednesday
Transactions completed during the day
👉 Settled two business days later
Examples:
Monday transactions → Paid on Wednesday
Tuesday transactions → Paid on Thursday
Wednesday transactions → Paid on Friday
Thursday
Transactions completed on Thursday
👉 Settled on Monday
(Because the two-business-day window crosses the weekend)
Friday
Transactions completed on Friday
👉 Settled on Tuesday
Weekend (Saturday & Sunday)
Transactions completed on Saturday or Sunday
👉 Settled on Tuesday
(Weekend activity is accumulated and processed starting Monday)
Why weekend transactions settle on Tuesday
Banks and payment networks do not process settlements on weekends.
Under the T+2 model:
Friday, Saturday, and Sunday transactions are grouped
The two-business-day count begins on Monday
Resulting in settlement on Tuesday
What “Flow” means
The Flow model emphasizes consistency and operational stability over raw speed.
It enables:
Better reconciliation accuracy
Improved chargeback and fraud monitoring windows
More predictable treasury planning
Reduced operational and liquidity risk
When T+2 (Flow) is the right choice
This settlement model is ideal for:
Businesses prioritizing operational control
Merchants with high volume and steady cash flow
Use cases requiring additional validation or risk checks
Companies optimizing treasury and settlement forecasting
Key Takeaways
T+2 = Settlement two business days after transaction
Cutoff: 23:59 UTC-6
Weekend transactions settle on Tuesday
Built for smooth, predictable payment flows
