Acceptance Credit


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Acceptance Credit

A letter of credit in which the buyer authorizes the transfer of funds to the seller on or after a certain date assuming the conditions of the letter are met. Acceptance credit may be confirmed, meaning that a bank has promised to pay in the event of default, or unconfirmed, meaning the seller assumes the risk of the borrower's default. See also: Banker's Acceptance.
References in periodicals archive ?
6 February 2013 - US buyout firm Teakwood Capital LP announced today it had successfully sold its minority stake in consumer debt purchaser Global Acceptance Credit Company (GACC) Inc, without providing information about the buyer or the value of the transaction.
6 February 2013 a[euro]" US buyout firm Teakwood Capital LP announced today it had successfully sold its minority stake in consumer debt purchaser Global Acceptance Credit Company (GACC) Inc, without providing information about the buyer or the value of the transaction.
36) Late in July, Strong proposed that the projected British purchase of cotton should be financed by a one-year acceptance credit of four consecutive three-month drafts.
This ruling shocked many banks, and I know some bankers in the Middle East who resorted to increased issuance of deferred payment LCs, but when it came to adding confirmations insisted on acceptance credits, presumably believing, in the light of above ruling, that they were protected in cases of fraud.
was the leading private bank in Hamburg, playing a top role in acceptance credits, foreign exchange, and securities operations.