Legal Question in Banking Law in India

Re: bill discounting

both are nearly same and in normal terms it means that you take money from bank on account of any negotiable instrument which has not been cleared yet

Re: bill discounting

Bill discounting means a Bill of exchange (cheque also a bill of exchange) being negotiated with a banker or third party to the Bill by getting a lesser amount than the face value of the Bill of Exchange. One gets instant payment by negotiating which means endorsing and delivering the instrument to another.The difference is called the discount. Bill purchase is the same as bill discounting the usage normally adopted by Banks

Re: bill discounting

consult any book on word & phrases.Bill discounting is a kind of bill of exchange like cheque etc. and when it is accepted for lessor ammount then it face value then it is called Bill discount.