Discount Note
/ˈdɪskaʊnt noʊt/
Definitions
- (n.) A negotiable promissory note sold at less than its face value, representing a loan where interest is deducted in advance.
The company raised capital by issuing a discount note to investors.
Forms
- discount note
- discount notes
Related terms
See also
Commentary
Discount notes are often short-term instruments used for quick financing, typically without periodic interest payments, as interest is embedded in the discount.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.