An OVERTHECOUNTER SWAP featuring a NOTIONAL PRINCIPAL balance that increases on a preset schedule or through the triggering of a market event, generally a breach of a defined INTEREST RATE level. Accreting swaps typically have a LOCKOUT PERIOD during which increases are prohibited. See also AMORTIZING SWAP , INDEX PRINCIPAL SWAP , REVERSE INDEX PRINCIPAL SWAP , VARIABLE PRINCIPALSWAP.
Black’s Law Online Dictionary
