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Trading Terms

Acceptor

A key player in the world of finance is the acceptor, also known as the drawee until they accept a bill of exchange. Once accepted, the acceptor assumes the responsibility of paying the face value of the bill to the presenter. Upon payment, the bill is considered retired. In cases where the acceptor is the initial creditor, they may require the borrower to deposit funds equivalent to the face value of the bill upon maturity. This strategic arrangement helps facilitate smoother financial transactions.
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