Forfaiting: Difference between revisions

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* [[Bill of exchange]]
* [[Bill of exchange]]
* [[Bill discounting]]
* [[Bill discounting]]
* [[Factoring]]
* [[ITFA]]
* [[ITFA]]
* [[Negotiable instrument]]
* [[Negotiable instrument]]

Revision as of 12:10, 20 June 2016

A process of purchasing a negotiable instrument without recourse to previous holders, the credit of the negotiable instrument normally having been strengthened by the additional of an aval.


A forfaiter, usually a bank or a non-bank financial institution, provides forfaiting services.

The forfaiting agreement sets out the arrangement between the initial seller and the primary forfaiter.


Forfaiting is sometimes known as 'bill discounting'.


See also