Payment Order
/ˈpeɪmənt ˈɔːrdər/
Definitions
- (n.) An instruction from an ordering party to a bank or financial institution to pay a specified sum to a beneficiary.
The company issued a payment order to transfer funds to its supplier.
- (n.) A written directive instructing a bank or financial intermediary to debit an account and credit another, typically used in international trade and banking.
The buyer's bank received the payment order to credit the exporter.
Forms
- payment orders
Related terms
See also
Commentary
Payment orders are distinct from mere promises to pay and usually require the intermediary's involvement to execute the transfer.
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.