Definition Of

Non-Recourse Discounting

Non-Recourse Discounting is purchase from the seller of accepted term Bills of Exchange at a discount to allow for funding of the advance from the discount date until the maturity date of the bills. When the discount is provided on a non-recourse basis the financing bank has no recourse to the seller in the event of non-payment by the buyer or the buyers’ bank.

Share it:

More from this Section

  • On-Line
    On-Line is a computer system where input data are processed as received and output data are transmitted as soon as they become
  • Futures contract
    Futures contract is contract for future delivery of a commodity, currency or security on a specific date. In contrast to forward
  • Confirming Bank
    Confirming Bank is the bank, which, upon authorization or request of the issuing bank, adds its confirmation to the documentary credit.
  • Systems Analysts
    These highly trained computer specialists work with officers and staff in all department of a bank, translating their production...
  • Compound Interest
    Compound Interest is interest payable (receivable) on interest.
  • Inflation Premium
    Inflation Premium is a premium for anticipated inflation that investors require in addition to the pure rate of interest.
  • Branch Banking Organizations
    Branch banking is a system where the banking business is carried on by single bank with a network of branches throughout the length and.......