Business and Personal Finance Dictionary

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• DELIVERY DATE
  
  The delivery date, also known as the settlement date, is the day on which a stock, option, or bond trade must be settled, or finalized. For stocks, it is three business days after the trade date, or T+3, and for listed options and government securities, it's one day after the trade date, or T+1. (The settlement date for stocks is scheduled to change to T+1 in June 2005.) If you're the seller, you turn over the security by the delivery date. But, in fact, most deliveries are electronic, since an increasing number of securities are registered in street name and held by your broker. and if you're the buyer, you pay the purchase price either through a margin account or by ensuring there is enough cash in your brokerage account to cover the transaction. You may send a check, arrange an electronic transfer, or ask your broker to sell investments you already own.
  
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