Accommodation Endorser

Accommodation Endorser
An entity or person who agrees to back the credit obligations of another party in order to allow that party to obtain credit for which they would not otherwise qualify. It is the equivalent of a payment guarantee.

Accommodation endorsers typically have some relationship with the borrowing person. Typical examples would include a parent company endorsing a subsidiary or a parent endorsing a child with no credit rating. The advantage of having an accomodation endorser may not only include obtaining credit, but may result in a reduced rate of interest as well.


Investment dictionary. . 2012.

Игры ⚽ Нужно решить контрольную?

Look at other dictionaries:

  • accommodation endorser — A person or a bank that endorses a loan to another party; for example, a parent company may endorse a bank loan to a subsidiary. The endorser becomes a guarantor and is secondarily liable in case of default. Banks may endorse other banks… …   Big dictionary of business and management

  • accommodation endorser — noun a person who endorses a promissory note without compensation or benefit but simply as a favor to the borrower • Hypernyms: ↑endorser, ↑indorser …   Useful english dictionary

  • endorser — noun 1. someone who expresses strong approval • Syn: ↑subscriber, ↑indorser, ↑ratifier • Derivationally related forms: ↑ratify (for: ↑ratifier), ↑indorse ( …   Useful english dictionary

  • accommodation — I (adjustment) noun accordance, adaptation, agreement, arrangement, compositio, composition of differences, compromise, friendly agreement, harmonization, mutual understanding, obliging, provision, readjustment, reconciliatio, rectification,… …   Law dictionary

  • accommodation paper — or accommodation bill or accommodation note n. a bill of exchange cosigned by one party as maker, acceptor, or endorser without requiring collateral or a fee, in order to lend his or her credit reputation to the second party * * * …   Universalium

  • accommodation paper — or accommodation bill or accommodation note n. a bill of exchange cosigned by one party as maker, acceptor, or endorser without requiring collateral or a fee, in order to lend his or her credit reputation to the second party …   English World dictionary

  • accommodation party — The person who signs an accommodation bill as drawer, acceptor, or endorser and acts as the guarantor …   Accounting dictionary

  • indorser — noun 1. someone who expresses strong approval • Syn: ↑subscriber, ↑endorser, ↑ratifier • Derivationally related forms: ↑ratify (for: ↑ratifier), ↑indorse, ↑ …   Useful english dictionary

  • surety — sure·ty / shu̇r ə tē/ n pl ties [Anglo French seurté, literally, guarantee, security, from Old French, from Latin securitat securitas, from securus secure] 1: a formal engagement (as a pledge) given for the fulfillment of an undertaking 2: one… …   Law dictionary

  • comaker — noun certifier, coapplicant, coborrower, co obligor, coratifier, cosignatory, cosigner, endorser, party to an instrument Burton s Legal Thesaurus. William C. Burton. 2006 comaker …   Law dictionary

Share the article and excerpts

Direct link
… Do a right-click on the link above
and select “Copy Link”