Trading TermsElasticity Basket Trades Berne Union Dynamic Data Exchange Discount interest rate Astrophysical Cycle
Back to back (or head and counter) credit
A documentary credit, also known as a counter credit, is a financing tool used by a seller, or importer, to purchase goods necessary to fulfill a sale covered by the original credit. This arrangement allows the importer's bank to use the first credit as collateral. The importer, as the applicant for the second credit, is liable for reimbursing the bank for any payments made, regardless of whether the original credit is paid or not. It is important to note that this type of credit is different from a transferable credit.
Related terms
Understand the meaning and definition of Elasticity in the context of stock market, trading, and investments.
MOREUnderstand the meaning and definition of Basket Trades in the context of stock market, trading, and investments.
MOREUnderstand the meaning and definition of Berne Union in the context of stock market, trading, and investments.
MOREUnderstand the meaning and definition of Dynamic Data Exchange in the context of stock market, trading, and investments.
MOREUnderstand the meaning and definition of Discount interest rate in the context of stock market, trading, and investments.
MOREUnderstand the meaning and definition of Astrophysical Cycle in the context of stock market, trading, and investments.
MORE
Explore other categories
10 Cr+DOWNLOADS
Enjoy Zero Brokerage On Stock Investments
Get the link to download the App
