banker's discount


banker's discount
The discount calculated by a bank when purchasing a bill of exchange

Accounting dictionary. 2014.

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  • banker's discount — ➔ discount1 * * * banker s discount UK US noun [C] BANKING, FINANCE ► the difference between the amount shown on a bill of exchange, etc. that a customer sends to a bank for payment, and the amount that the customer receives, after the bank has… …   Financial and business terms

  • discount — a deduction made from the normal cost or purchase price. Glossary of Business Terms 1) Quality differences between those standards set for some futures contracts and the quality of the delivered goods. If inferior goods are tendered for delivery …   Financial and business terms

  • Discount — Referring to the selling price of a bond, a price below its par value. Related: premium. The New York Times Financial Glossary * * * ▪ I. discount dis‧count 1 [ˈdɪskaʊnt] noun [countable] 1. COMMERCE a reduction in the cost of goods or services… …   Financial and business terms

  • discount securities — (1) Securities that do not pay periodic interest. Investors earn the difference between the discount issue price and the full face value paid at maturity. Treasury bills, banker s acceptances, and zero coupon bonds are discount securities. Most… …   Financial and business terms

  • Discount House — Primarily operating in the United Kingdom, a firm that buys, sells, discounts and/or negotiates bills of exchange or promissory notes. This is generally performed on a large scale with transactions that also include government bonds and treasury… …   Investment dictionary

  • Banker's Acceptance - BA — A short term credit investment created by a non financial firm and guaranteed by a bank. Acceptances are traded at a discount from face value on the secondary market. Banker s acceptances are very similar to T bills and are often used in money… …   Investment dictionary

  • banker's acceptance — A draft accepted by a bank usually for the purpose of financing a sale of goods to or by the bank s customer. A bill of exchange draft payable at maturity that is drawn by a creditor against his or her debtor. Banker s acceptances are short term… …   Black's law dictionary

  • banker's acceptance — A draft accepted by a bank usually for the purpose of financing a sale of goods to or by the bank s customer. A bill of exchange draft payable at maturity that is drawn by a creditor against his or her debtor. Banker s acceptances are short term… …   Black's law dictionary

  • discount rate — /ˈdɪskaʊnt reɪt/ (say diskownt rayt) noun rate of interest charged by a banker for discounting bills of exchange …   Australian English dictionary

  • banker — A dealer in capital, that is, an intermediary between the borrower and the lender, who borrow s from one party and tends to another; every person, firm, or company having a place of business where credits are opened by the deposit or collection… …   Ballentine's law dictionary