v.
intr. To trade one thing for another. v.
tr. To exchange (one thing) for another. n.
An exchange of one thing for another.
A contract in which two parties agree to exchange periodic interest payments, especially when one payment is at a fixed rate and the other varies according to the performance of a reference rate, such as the prime rate.
[Middle English swappen, to strike, strike the hands together in closing a bargain.] swap'per n.
Main Entry: swap Pronunciation: 'swäp Function: noun 1: an exchange of securities 2: a derivative contract in which two parties (as corporations) agree to exchange rates esp. relating to debt