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Bill of Credit

   Also found in: Dictionary/thesaurus, Legal 0.01 sec.
Bill of Credit
1. A bill issued by a government that may be traded as money and may be redeemed by the holder for actual money on a given day.

2. A request for payment by a third party. For example, if one writes a check to a seller, the seller demands payment from the bank out of the funds it holds on behalf of the buyer. In this case, the check is a bill of credit.


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33) Additionally, some of the federal Convention delegates who voted to remove the express bill of credit power did so only because they believed that the government would still be able to issue paper money without it.
 
 
 
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