DictionarynegotiateTransferring financial instruments
verb

negotiate

To transfer a financial instrument to another holder or exchange it for money.

She negotiates the check by endorsing it and delivering it.

Etymology

The Latin source means to conduct business. The financial sense specializes that activity to transferring a document of value or converting it into money.

More examples

  • The bank negotiates the draft and credits our account.
  • He negotiated the promissory note to a new holder.
  • Ask your bank about negotiating a check payable in foreign currency.

Forms

negotiate · negotiates · negotiated · negotiating

negotiable adjective — Legally transferable from one holder to another.

Similar words

cash
Specifically means exchanging a check or similar instrument for money.
transfer
Broader term for passing ownership, without specifying financial instruments.