set off

Also found in: Dictionary, Thesaurus, Medical, Legal, Idioms, Encyclopedia, Wikipedia.
Related to set off: set off against


1. The ability of a debtor to reduce the amount of one's debt by an amount the creditor owes to the debtor. Thus, if a debtor owes a creditor $20,000 but the creditor owes the debtor $5,000 in an unrelated matter, setoff allows the debtor effectively to owe only $15,000.

2. In banking, the right of a bank to seize a debtor's account balance held at that bank if a debt is in or near default. Some jurisdictions limit the right of setoff; for example, the United States does not allow it to apply for commercial loans or credit card debt.

set off

To deduct debts from each other.Oftentimes defaulting debtors will claim that they have not paid their obligations because of a right of setoff against injuries suffered as a result of wrongdoing by the creditor.Lenders with bank deposits in the name of their borrower may set off the bank account against the mortgage debt if there is a default.

References in periodicals archive ?
According to media reports, the vessel, that set off from Larnaca and was heading to the Spanish port of Tarragona, was stopped by Greek authorities on Friday morning off Crete.
The department reminded the public that they should set off fireworks with approval labels at permitted locations recognized by the fire department, and should not set them off between 10 p.
The alarm was raised after the rowers' emergency position indicating radio beacon, known as an Epirb, was set off.
an account debtor may assert equitable set-off against an assignee of the claim on which he is liable), but may require a close connection between the obligations being set off.
We set them off way deep underground, where what they do is set off volcanos.
Engineers had to work late into Thursday night to deal with the chaos caused after hydrants were set off on nine streets in Birkenhead.
The comic begins by talking about his life back in the UK 22 years ago, and why he decided to set off on the journey in the first place, before he travels to Sydney and sets off up the east coast.
A GROUP of friends preparing to cycle 1,000 miles for charity raised five times their target in 24 hours after their supplies were stolen as they were about to set off.
Iain Robson from the AONB Partnership said: "We recognise that our beaches are relatively free of light pollution and as such are great places to set off fireworks.
A CARDIFF pub was forced to close after chairs and tables were turned over and a smoke-bomb was set off before Saturday's match between Cardiff City and Bristol City.
A plea by the government to set off fewer fireworks to help deal with Beijing's notorious air pollution seemed to fall on deaf ears.
More than 230 people, mostly young college students, died in a cloud of toxic smoke after a blaze enveloped the crowded nightclub within seconds and set off a panic.