Podcast
Questions and Answers
Which of the following best describes the term 'negotiability' in the context of commercial paper?
Which of the following best describes the term 'negotiability' in the context of commercial paper?
- The act of formally accepting a bill of exchange.
- The ability of an instrument to be transferred from one party to another. (correct)
- The process of verifying the authenticity of a document.
- The legal obligation to pay a debt.
A 'nonnegotiable' instrument can be freely transferred to another party.
A 'nonnegotiable' instrument can be freely transferred to another party.
False (B)
What is the general term for a document representing a promise to pay a certain amount of money?
What is the general term for a document representing a promise to pay a certain amount of money?
commercial paper
A __________ is a written promise to pay a specified sum of money on demand or at a specific date.
A __________ is a written promise to pay a specified sum of money on demand or at a specific date.
Match the parties involved with the 'promissory note' to their roles:
Match the parties involved with the 'promissory note' to their roles:
In a 'bill of exchange', who is the 'drawee'?
In a 'bill of exchange', who is the 'drawee'?
A 'certificate of deposit' is a document certifying that a customer has a deposit at a bank for a specified period at a fixed rate of interest.
A 'certificate of deposit' is a document certifying that a customer has a deposit at a bank for a specified period at a fixed rate of interest.
What is the common term for an instrument that instructs a bank to pay a specific amount from a designated account to a named party?
What is the common term for an instrument that instructs a bank to pay a specific amount from a designated account to a named party?
The 'drawer' of a bill of exchange is also known as the _________.
The 'drawer' of a bill of exchange is also known as the _________.
Match the parties involved with the 'bill of exchange' to their equivalent terms:
Match the parties involved with the 'bill of exchange' to their equivalent terms:
What does it mean 'to draw a bill on a bank'?
What does it mean 'to draw a bill on a bank'?
'To (dis)honor a bill' means to accept or refuse to accept and pay a bill of exchange.
'To (dis)honor a bill' means to accept or refuse to accept and pay a bill of exchange.
What does 'to discount a bill' generally mean in financial terms?
What does 'to discount a bill' generally mean in financial terms?
'To endorse (indorse) a bill' means to __________ it, typically on the back, to transfer ownership.
'To endorse (indorse) a bill' means to __________ it, typically on the back, to transfer ownership.
Match the action with the description
Match the action with the description
What is the difference between a 'foreign bill' and an 'inland bill'?
What is the difference between a 'foreign bill' and an 'inland bill'?
A 'treasury bill' is a short-term debt obligation backed by a government.
A 'treasury bill' is a short-term debt obligation backed by a government.
What is an 'overdue bill'?
What is an 'overdue bill'?
An 'accommodation bill' also known as '__________' is a bill where one party lends its credit to another.
An 'accommodation bill' also known as '__________' is a bill where one party lends its credit to another.
What does it mean 'to stop a check'?
What does it mean 'to stop a check'?
'To cancel a check' means to void it, making it no longer valid.
'To cancel a check' means to void it, making it no longer valid.
What does it mean to 'cash a check'?
What does it mean to 'cash a check'?
An 'antedated check' is dated ________ than the date it is presented.
An 'antedated check' is dated ________ than the date it is presented.
Match the type of check with its description:
Match the type of check with its description:
What is a 'stale check'?
What is a 'stale check'?
A 'traveller's check' is primarily designed for international wire transfers.
A 'traveller's check' is primarily designed for international wire transfers.
Define a 'bad check'.
Define a 'bad check'.
If 'a check bounces', it means there are __________ funds in the account.
If 'a check bounces', it means there are __________ funds in the account.
Match the Document with the description
Match the Document with the description
What does the term 'bona fide purchaser' mean?
What does the term 'bona fide purchaser' mean?
A 'bona fide offer' refers to an offer made in bad faith or with deceptive intentions.
A 'bona fide offer' refers to an offer made in bad faith or with deceptive intentions.
Define 'bona fide error'.
Define 'bona fide error'.
'To defer payment' is to __________ payment to a later date.
'To defer payment' is to __________ payment to a later date.
What is a 'delinquent payment'?
What is a 'delinquent payment'?
'Down payment' means payment in full.
'Down payment' means payment in full.
Define 'advance payment'.
Define 'advance payment'.
A 'tender of payment' is an __________ to make payment.
A 'tender of payment' is an __________ to make payment.
Match the type of payment
Match the type of payment
Which of the following best describes 'negotiability' in the context of commercial paper?
Which of the following best describes 'negotiability' in the context of commercial paper?
A 'promissory note' involves three parties: the drawer, the drawee, and the payee.
A 'promissory note' involves three parties: the drawer, the drawee, and the payee.
In a bill of exchange, what is the role of the 'drawee'?
In a bill of exchange, what is the role of the 'drawee'?
A 'certificate of deposit' is a document evidencing a time deposit at a ________.
A 'certificate of deposit' is a document evidencing a time deposit at a ________.
Match the term with its closest definition:
Match the term with its closest definition:
Which of the following actions represents 'to endorse a bill'?
Which of the following actions represents 'to endorse a bill'?
'Discounting a bill' refers to rejecting the bill for payment due to some discrepancy.
'Discounting a bill' refers to rejecting the bill for payment due to some discrepancy.
What does it mean 'to note a bill'?
What does it mean 'to note a bill'?
A bill that is payable within the country it is drawn is referred to as an _______ bill.
A bill that is payable within the country it is drawn is referred to as an _______ bill.
Match the term related to bills with its description:
Match the term related to bills with its description:
Which of the following describes the action 'to stop a check'?
Which of the following describes the action 'to stop a check'?
An 'antedated check' is a check with a future date.
An 'antedated check' is a check with a future date.
A 'certified check' is a check that the _________ guarantees has sufficient funds to cover the check amount.
A 'certified check' is a check that the _________ guarantees has sufficient funds to cover the check amount.
What does it mean when 'a check bounces'?
What does it mean when 'a check bounces'?
'Documents of title' represent ownership of real estate properties.
'Documents of title' represent ownership of real estate properties.
What is a 'bill of lading'?
What is a 'bill of lading'?
A 'warehouse receipt' acknowledges that goods have been deposited in a _______ .
A 'warehouse receipt' acknowledges that goods have been deposited in a _______ .
Match the document with what it represents:
Match the document with what it represents:
What does 'bona fide purchaser' mean?
What does 'bona fide purchaser' mean?
A 'bona fide offer' is always the highest offer presented.
A 'bona fide offer' is always the highest offer presented.
What is a 'bona fide error'?
What is a 'bona fide error'?
To 'make Раyment' is equivalent to _______ payment.
To 'make Раyment' is equivalent to _______ payment.
Match the action with the correct definition concerning payments:
Match the action with the correct definition concerning payments:
What does 'to withhold payment' mean?
What does 'to withhold payment' mean?
'Down payment' refers to a payment made to fully settle an outstanding debt.
'Down payment' refers to a payment made to fully settle an outstanding debt.
What does 'payment in kind' mean?
What does 'payment in kind' mean?
'Раyment in arrears' refers to a payment that is __________.
'Раyment in arrears' refers to a payment that is __________.
Match the payment term with the definition:
Match the payment term with the definition:
What does 'payable to order' signify on a negotiable instrument?
What does 'payable to order' signify on a negotiable instrument?
A 'fictitious раyee' is always a real person known to the maker of the instrument.
A 'fictitious раyee' is always a real person known to the maker of the instrument.
What is a treasury bill?
What is a treasury bill?
To 'protest a bill' means to formally declare a bill has been __________.
To 'protest a bill' means to formally declare a bill has been __________.
Match the term with its closest action:
Match the term with its closest action:
What is the purpose of negotiation in commercial paper?
What is the purpose of negotiation in commercial paper?
Commercial paper is always secured by collateral.
Commercial paper is always secured by collateral.
What is the primary difference between a 'cashier's check' and a 'teller's check'?
What is the primary difference between a 'cashier's check' and a 'teller's check'?
A 'traveller's check' is designed to be a safe alternative to carrying _______ when traveling.
A 'traveller's check' is designed to be a safe alternative to carrying _______ when traveling.
Match the type of check with its inherent risk characteristic:
Match the type of check with its inherent risk characteristic:
A 'promissory note' is the same as a 'bill of exchange'.
A 'promissory note' is the same as a 'bill of exchange'.
In a promissory note, the party who promises to pay is known as the ______.
In a promissory note, the party who promises to pay is known as the ______.
In the context of a bill of exchange, which party is the 'drawee'?
In the context of a bill of exchange, which party is the 'drawee'?
Match the term with its corresponding meaning:
Match the term with its corresponding meaning:
To 'dishonor a bill' means to accept it for payment.
To 'dishonor a bill' means to accept it for payment.
What does it mean to 'discount a bill'?
What does it mean to 'discount a bill'?
What action does one take to formally record the non-payment of a bill?
What action does one take to formally record the non-payment of a bill?
Transferring ownership of a bill by signing on the back is called ______ it.
Transferring ownership of a bill by signing on the back is called ______ it.
What is the primary difference between an 'inland bill' and a 'foreign bill'?
What is the primary difference between an 'inland bill' and a 'foreign bill'?
A 'treasury bill' is a type of commercial paper issued by corporations.
A 'treasury bill' is a type of commercial paper issued by corporations.
What characterizes an 'accommodation bill'?
What characterizes an 'accommodation bill'?
A bill that has been accepted by the drawee is called an ______ bill.
A bill that has been accepted by the drawee is called an ______ bill.
Which of the following actions indicates that a payment on a check has been stopped?
Which of the following actions indicates that a payment on a check has been stopped?
An 'antedated check' is one that is dated for a future date.
An 'antedated check' is one that is dated for a future date.
What distinguishes a 'cashier's check' from other types of checks?
What distinguishes a 'cashier's check' from other types of checks?
What is the term for a check that has been crossed with two parallel lines?
What is the term for a check that has been crossed with two parallel lines?
A check that is presented for payment long after its issue date is referred to as a ______ check.
A check that is presented for payment long after its issue date is referred to as a ______ check.
Which term describes a check that is returned unpaid due to insufficient funds?
Which term describes a check that is returned unpaid due to insufficient funds?
A 'warehouse receipt' is considered a document of title.
A 'warehouse receipt' is considered a document of title.
Flashcards
Negotiability
Negotiability
The quality of being transferable between parties.
Negotiation
Negotiation
The act of transferring a negotiable instrument to another party.
Negotiable Instruments Law (NIL)
Negotiable Instruments Law (NIL)
A set of laws governing negotiable instruments. (Not a term in common parlance, skipping)
Negotiable
Negotiable
Signup and view all the flashcards
Nonnegotiable
Nonnegotiable
Signup and view all the flashcards
Commercial paper
Commercial paper
Signup and view all the flashcards
Promissory note
Promissory note
Signup and view all the flashcards
Bill of exchange (draft)
Bill of exchange (draft)
Signup and view all the flashcards
Certificate of deposit
Certificate of deposit
Signup and view all the flashcards
Check (cheque)
Check (cheque)
Signup and view all the flashcards
Parties to a promissory note
Parties to a promissory note
Signup and view all the flashcards
Maker
Maker
Signup and view all the flashcards
Payee
Payee
Signup and view all the flashcards
Parties to a bill of exchange
Parties to a bill of exchange
Signup and view all the flashcards
Drawer
Drawer
Signup and view all the flashcards
Drawee
Drawee
Signup and view all the flashcards
Payer
Payer
Signup and view all the flashcards
To draw a bill on a bank
To draw a bill on a bank
Signup and view all the flashcards
To make out a bill
To make out a bill
Signup and view all the flashcards
To (dis)honor a bill
To (dis)honor a bill
Signup and view all the flashcards
Honor a bill
Honor a bill
Signup and view all the flashcards
To discount a bill
To discount a bill
Signup and view all the flashcards
To be liable on a bill
To be liable on a bill
Signup and view all the flashcards
To note a bill
To note a bill
Signup and view all the flashcards
To endorse (indorse) a bill
To endorse (indorse) a bill
Signup and view all the flashcards
To protest a bill
To protest a bill
Signup and view all the flashcards
To negotiate a bill
To negotiate a bill
Signup and view all the flashcards
To present a bill
To present a bill
Signup and view all the flashcards
To surrender a bill
To surrender a bill
Signup and view all the flashcards
Foreign bill
Foreign bill
Signup and view all the flashcards
Inland bill
Inland bill
Signup and view all the flashcards
Treasury bill
Treasury bill
Signup and view all the flashcards
Overdue bill
Overdue bill
Signup and view all the flashcards
Accommodation bill
Accommodation bill
Signup and view all the flashcards
Accepted bill
Accepted bill
Signup and view all the flashcards
Outstanding bill
Outstanding bill
Signup and view all the flashcards
to issue a check
to issue a check
Signup and view all the flashcards
To make out a check
To make out a check
Signup and view all the flashcards
To write out a check
To write out a check
Signup and view all the flashcards
To pay by a check
To pay by a check
Signup and view all the flashcards
To stop a check
To stop a check
Signup and view all the flashcards
To cancel a check
To cancel a check
Signup and view all the flashcards
To (dis)honor a check
To (dis)honor a check
Signup and view all the flashcards
To sign a check
To sign a check
Signup and view all the flashcards
To process a check
To process a check
Signup and view all the flashcards
To alter a check
To alter a check
Signup and view all the flashcards
To cash a check
To cash a check
Signup and view all the flashcards
To present a check
To present a check
Signup and view all the flashcards
Undated check
Undated check
Signup and view all the flashcards
Antedated check
Antedated check
Signup and view all the flashcards
Study Notes
- These notes cover key terms and concepts related to commercial paper and payments.
- Terms are provided along with their Russian translations/explanations.
Core Concepts
- Negotiability: Обращаемость (transferability).
- Negotiation: Оборот, обращение, передача векселя (circulation, transfer of a bill of exchange).
- Negotiable Instruments Law (NIL): Закон об оборотных документах (law on negotiable instruments).
- Negotiable: Оборотный (transferable).
- Nonnegotiable: Необоротный (non-transferable).
- Commercial paper: Коммерческая бумага (short-term debt instruments).
Types of Commercial Paper
- Promissory note: Простой вексель (a written promise to pay).
- Bill of exchange (draft): Переводной вексель (тратта) (an order to pay).
- Certificate of deposit: Депозитный сертификат (a receipt for funds deposited in a bank for a fixed term).
- Check (cheque): Чек (an order to a bank to pay a specified sum).
Parties to Commercial Paper
- Parties to a promissory note: Maker (векселедатель) and payee (ремитент).
- Maker: Векселедатель (the issuer of a promissory note).
- Payee: Ремитент (получатель платежа) (the recipient of payment).
- Parties to a bill of exchange: Drawer (трассант), drawee (трассат), and payee (получатель платежа).
- Drawer: Трассант (the party who writes the bill of exchange).
- Drawee: Трассат (должник по тратте, плательщик) (the party who is ordered to pay).
- Payer: Отправитель платежа (the party making a payment).
Actions Related to Bills
- To draw a bill on a bank: Выписать/выставить вексель на банк (to issue a bill to a bank).
- To make out a bill: Выписать, выставить вексель (to issue a bill).
- To (dis)honor a bill: Отказать в акцепте и оплате векселя / принять вексель к оплате (to refuse/accept a bill for payment).
- To discount a bill: Учитывать вексель, принимать к оплате, дисконтировать (to discount a bill).
- To be liable on a bill: Отвечать по векселю (to be responsible for a bill).
- To note a bill: Сделать отметку на векселе об отказе в платеже, опротестовать вексель/ протестовать (to note a bill for non-payment).
- To endorse (indorse) a bill: Индоссировать вексель (to transfer a bill by signing it).
- To protest a bill: Опротестовать вексель (to formally certify non-payment).
- To negotiate a bill: Направить в вексельный оборот (to put a bill into circulation).
- To present a bill: Предъявить вексель к оплате (to submit a bill for payment).
- To surrender a bill: Предъявить вручить, передать сдавать (в банк) при его возврате/ отказаться (to hand over a bill).
Types of Bills
- Foreign bill: Иностранный вексель (a bill drawn in one country and payable in another).
- Inland bill: Внутренний вексель, отечественный вексель (a bill payable in the same country it is drawn).
- Treasury bill: Казначейский вексель (a short-term government security).
- Overdue bill: Просроченный вексель (a bill past its payment date).
- Accommodation bill: Дружеский вексель/ безденежный (a bill accepted as a favor without actual consideration).
- Accepted bill: Акцептованный вексель (a bill that the drawee has agreed to pay).
- Outstanding bill: Неоплаченный вексель (an unpaid bill).
Actions Related to Checks
- To issue a check: Выставлять чек (to write a check).
- To make out a check: Выписывать чек (to write a check).
- To write out a check: Выписывать чек (to write a check).
- To pay by a check: Оплачивать чеком (to pay with a check).
- To stop a check: Приостанавливать платеж по чеку (to instruct a bank to not pay a check).
- To cancel a check: Аннулировать чек (to void a check).
- To (dis)honor a check: (Не) принять чек к оплате (to (not) accept a check for payment).
- To sign a check: Подписать чек (to sign a check).
- To process a check: Оформлять чек (to process a check).
- To alter a check: Изменять чек (to change a check).
- To cash a check: Получать наличные по чеку (to exchange a check for cash).
- To present a check: Предъявлять чек к оплате (to submit a check for payment).
Types of Checks
- Undated check: Недатированный чек (a check without a date).
- Antedated check: Чек датированный более ранним числом (a check with a date earlier than the actual date).
- Postdated check: Чек датированный более поздним числом (a check with a date later than the actual date).
- Bank check: Банковский чек (a check drawn by a bank on itself).
- Bearer check: Чек на предъявителя (a check payable to anyone who possesses it).
- Cashier's check: Кассовый чек, кассирский чек (a check drawn by a bank on itself).
- Teller's check: Чек кассира (a check drawn by one bank on another bank).
- Certified check: Удостоверенный/подтвержденный чек (a check guaranteed by a bank).
- Crossed check: Кроссированный чек, перечеркнутый чек (a check that must be deposited).
- Outstanding check: Неоплаченный чек (a check that has not been cashed).
- Stale check: (Давно) просроченный чек (a check that is too old to be valid).
- Traveler's check: Туристический чек, дорожный чек (a check used by travelers).
- Forged check: Поддельный чек, подложный чек (a fake check).
- Bad check: Необеспеченный чек, "плохой чек" (a check without sufficient funds).
- Escrow check: Чек, условно врученный чек / эскроу (a check held in trust).
- A check bounces: Чек без покрытия/ отказ в оплате / возврат чека (a check is rejected due to insufficient funds).
Documents of Title
- Documents of title (to goods): Товарораспорядительные документы (documents that prove ownership of goods).
- Bill of lading: Коносамент (a document acknowledging receipt of goods for shipment).
- Dock warrant: Доковая гарантия (со свидетельством) (a document giving title to goods stored at a dock).
- Warehouse receipt: Складское свидетельство (a receipt for goods stored in a warehouse).
- Dock receipt: Свидетельство (a receipt for goods received at a dock).
Legal Terms
- Bona fide purchaser: Добросовестный приобретатель (a good faith purchaser).
- Bona fide offer: Оферта/добросовестное предложение (a good faith offer).
- Bona fide mortgage: Добросовестная ипотека (a good faith mortgage).
- Bona fide error: Добросовестное заблуждение (a good faith error).
Payment Actions
- To make payment / To effect payment: Производить/осуществлять платеж (to make a payment).
- To defer раyment: Отложить, отсрочить платеж (to postpone a payment).
- To enforce payment: Взыскать платеж (to collect a payment).
- To suspend payment: Приостановить платежи (to temporarily stop payments).
- To stop раyment: Прекратить платеж (to cease a payment).
- To present for payment: Предъявлять к платежу (to submit for payment).
- To withhold payment: Воздерживатгься от платежа, задерживать оплату (to delay a payment).
Types of Payments
- Раyment: Платеж - первый взнос (a payment).
- Delinquent payment: Просроченный платеж (a late payment).
- Down payment: Оплата наличными (предоплата) (an initial payment).
- Advance payment: Досрочная выплата - аванс (an early payment).
- Tender of payment: Предложение произвести платеж (an offer to make a payment).
- Раyment in cash: Платеж наличными (payment made with cash).
- Раyment by check: Платеж чеком (payment made with a check).
- Раyment in part: Частичный платеж (a partial payment).
- Раyment in full: Полный платеж (a complete payment).
- Раyment by installments: Платеж взносами, в рассрочку (payment made in installments).
- Раyment on a loan: Платеж по займу, со ссудного счета (payment on a loan).
- Раyment against documents: Платеж против документов (payment made upon presentation of documents).
- Раyment by draft: Платеж траттой (payment made by draft).
- Раyment by / from letter of credit (L/C): Платеж путем выставления аккредитива (payment made via letter of credit).
- Раyment in arrears: Просроченный платеж в погашение задолженности (payment overdue).
- Раyment in kind: Оплата не денежными средствами - оплата натурой (payment made with goods or services).
Payment Instructions
- Payable to order: Подлежащий уплате чьему-либо приказу или на предъявителя (payable to a specific person or entity).
- Payable to bearer: Подлежащий уплате на предъявителя (payable to whoever holds the instrument).
- Fictitious раyee: Фиктивный получатель денег по векселю (a nonexistent payee).
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Description
Explore core concepts related to commercial paper and payments. Understand key terms like negotiability, promissory notes, and bills of exchange. Learn the Russian translations of these terms.
