Updated on March 13, 2023
The date on which financial trade takes place is called its transaction date. The transaction can be a changing of hand or a buy/sell trade. It can also refer to a banking transaction or a transfer of ownership of another financial asset. Transaction date can be different from the settlement date, which is the date on which funds are cleared or when the seller receives funds. For buyers, the transaction date is the one when trade or exchange is complete and the entry is recorded. Settlement date will be a later date than the transaction date.
What are the examples of transaction date?
Examples of transaction date are:
1. Purchases made on debit or credit card
2. Deposit/withdrawal of funds in the bank account
3. Buying shares/securities
4. Selling shares/securities
5. Making investment in MFs/ETFs