Open account


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Open account

Arrangement whereby sales are made with no formal debt contract. The buyer signs a receipt, and the seller records the sale in the sales ledger.

Open Account

1. See: Credit sale.

2. Any account where money is held or is owed. That is, a bank account with a $1,000 credit and another account with a $1,000 overdraft are both open accounts because they have non-zero balances.
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Accordingly, under these regulations, shareholders would be required to determine for open account debt purposes whether shareholder advances and repayments on the advances exceeded the $10,000 aggregate principal threshold on any day during the S corporation's tax year.
Since an L/C protects the exporter against the credit risk of the buyer, it is safer than payment under open account or documentary collections.
However, for open account debt, additional advances restore zero-basis loans repaid during the year.
S1 Trade Finance is the culmination of years working with the world's top tier trade banks and adapting the front office business model to reflect industry needs, such as Open Account and facilitating straight-through processing," said Ross McKay, vice president of product management at S1 Corporation.
Pakistan's central bank, the State Bank of Pakistan (SBP), has asked Pakistan expats to open accounts in the nation if they are to transfer money legally from abroad.
The chief executive officer said youths can also open accounts for funds to grow their businesses.
Some college agreements cover other financial products, for example, and not all who open accounts are students.
A statement for the Central Bank of Iraq cited that: "The Board of Directors, in its meeting yesterday, decided to let money transfer companies to open accounts in the Bank directly deal with both / Iraqi dinar and dollar / to carry out the purchase of foreign currency.
The accused had the power to open accounts without getting the branch operation manager's approval.
Under Swiss rules, banks have to pay particular attention to people in high office, known as politically exposed persons (PEPs), when they open accounts.
For instance, at present, although offshore banking units (OBU) can undertake renminbi-related businesses, domestic legal entities and individuals cannot open accounts at OBU.