Definition

Noun: A foreign bill is a type of bill of exchange (a written order to pay a specific sum of money) that is drawn in one country but is made payable in another country. It is used in international trade and finance to settle payments across borders.

Usage

A foreign bill facilitates payment between parties in different countries. The drawer (the entity issuing the bill) is in one country, while the drawee (the entity ordered to pay) and the place of payment are in another.

Examples

• The exporter presented the foreign bill to the bank for acceptance, as it was drawn in Germany but payable in Canada.
• Handling a foreign bill involves considerations of exchange rates and international banking regulations.
• The finance department specialized in processing foreign bills for all the company's overseas clients.

Advanced Usage

• In contrast to an inland bill: A foreign bill is distinct from an inland bill (or domestic bill), which is both drawn and payable within the same country. The legal treatment and procedures for protesting non-payment can differ between the two.

Variants and Related Words

• Foreign draft: A very similar term, often used interchangeably with foreign bill of exchange.
• Bill of exchange: The general category of financial instrument to which a foreign bill belongs.
• Inland bill: The antonym; a bill drawn and payable within the same country.

Synonyms

• Foreign draft
• International bill of exchange

Related Phrases

• To draw a foreign bill: To issue or create a foreign bill.
  • The supplier will draw a foreign bill on our company for the shipment.
• To accept/honor a foreign bill: To agree to pay or to actually pay the foreign bill when it is due.
  • The importer's bank accepted the foreign bill, guaranteeing the payment.

Noun

1. a bill of exchange that is drawn in one country and made payable in another