A letter of credit (LC), also known as a documentary credit or bankers commercial credit, or letter of undertaking (LoU), is a payment mechanism used in international trade to provide an economic guarantee from a creditworthy bank to an exporter of goods. Letters of credit are used extensively in the financing of international trade, when the reliability of contracting parties cannot be ...

A bill of credit is a promissory note issued by a government on its own credit and intended to circulate as money. Under Article I, section 10, of the Constitution the states are prohibited from emitting bills of credit.

Credit is the trust which allows one party to provide money or resources to another party wherein the second party does not reimburse the first party immediately, but promises either to repay or return those resources at a later date. In other words, credit is a method of making reciprocity formal, legally enforceable, and extensible to a large group of unrelated people. The resources …

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.

Bill of credit. Also found in: Dictionary, Financial, Wikipedia . BILL OF CREDIT. It is provided by the Constitution of the United States, art. 1, s. 10, that no state shall " emit bills of credit, or make anything but gold and silver coin a tender in payment or debts." Such bills of credit are declared to mean promissory notes or bills issued exclusively on the credit of the. state, and for the …

A bill of sale is a document that transfers ownership of goods from one person to another. It is used in situations where the former owner transfers possession of the goods to a new owner. ... bills of sale came to be used as a form of consumer credit. Lenders would extend credit on the security of: all and every the household goods, furniture ...

Bill of credit - definition of Bill of credit by The Free Dictionary Bill of credit Also found in: Legal, Financial, Wikipedia . Within the constitution of the United States, a paper issued by a State, on the mere faith and credit of the State, and designed to circulate as money. No …

More specifically, it is a document contemplated by or consisting of a contract, which promises the payment of money without condition, which may be paid either on-demand or at a future date.

A bill of lading (/ ˈ l eɪ d ɪ ŋ /) (sometimes abbreviated as B/L or BOL) is a document issued by a carrier (or their agent) to acknowledge receipt of cargo for shipment.Although the term historically related only to carriage by sea, a bill of lading may today be used for any type of carriage of goods. Bills of lading are one of three crucial documents used in international trade to ensure ...