Rebate

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Definition: Rebate

Rebate

Quick Summary of Rebate

A rebate is a refund given to a borrower if the borrower pays off the loan before maturity.

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What is the dictionary definition of Rebate?

Dictionary Definition

  1. n. a discount or deduction on sales price. A secret rebate given by a subcontractor to a contractor in return for getting the job is illegal, since it cheats the person hiring the contractor.
  2. v. to give a discount or deduction.

Full Definition of Rebate

  1. A partial refund following a purchase.
  2. For a bill of exchange, a discount that is offered if the bill is paid before maturity. 3. The portion of interest on short sale proceeds that is paid out to the borrower of a bond as an incentive for them to borrow the stock from a specific source. When a short sale takes place, the short seller often borrows a security through a lender (who acts as an intermediary), who in turn borrows the security from an owner of custodian. The short sale’s proceeds are then returned to the lender, who then invests the proceeds and earns interest on them. Certain short-sellers might demand a portion of this interest, in order for them to do business with that particular lender.

Cite Term

To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/rebate/
Modern Language Association (MLA):
Rebate. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
April 16, 2024 https://payrollheaven.com/define/rebate/.
Chicago Manual of Style (CMS):
Rebate. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/rebate/ (accessed: April 16, 2024).
American Psychological Association (APA):
Rebate. PayrollHeaven.com. Retrieved April 16, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/rebate/

Definition Sources

Definitions for Rebate are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 29th November, 2021 | 0 Views.