time bill

Thân thiện

A businessperson reviews a time bill before a meeting.

Definition

Noun: A time bill is a type of financial document, specifically a draft or bill of exchange, that is payable at a specified future date rather than immediately upon presentation.

Usage

A time bill is used in commerce and finance to facilitate a deferred payment. The issuer (the drawer) instructs the payer (the drawee) to pay a specific sum of money to a recipient (the payee) on a predetermined future date.

Examples

• The exporter requested payment via a time bill with a maturity date 90 days after shipment.
• The company's treasury department manages all incoming and outgoing time bills to optimize cash flow.
• He discounted the time bill at the bank to receive the funds immediately, albeit for a fee.

Advanced Usage

• "to accept a time bill": This refers to the drawee formally agreeing, by signing the bill, to pay the specified amount on the due date. Once accepted, it becomes a firm obligation.
  • The buyer accepted the time bill, guaranteeing payment in 60 days.
• "to discount a time bill": This is the process of selling a time bill to a bank or financial institution before its maturity date to receive immediate cash, less an interest charge (the discount).
  • We needed liquidity, so we discounted the time bill at a 4% annual rate.

Variants and Related Words

• Time draft: A direct synonym for time bill.
• Usance bill: Another synonym, commonly used in international trade to indicate a bill payable after a period of time (the usance).
• Sight bill / Demand draft: The opposite of a time bill; a draft that is payable immediately upon presentation ("at sight").
• Bill of exchange: The broader category of financial instruments that includes both time bills and sight bills.

Synonyms

• Term draft
• Deferred payment bill
• Date draft

Related Phrases

• Maturity date: The specified future date on which a time bill becomes payable.
• Tenor: The time period until a time bill's maturity (e.g., "90 days tenor").
• Presentation for acceptance: The act of submitting a time bill to the drawee to obtain their agreement to pay it on the due date.

Học thuật

Noun

1. a draft payable at a specified future date

Từ đồng nghĩa

• time draft