Usance

Business, Legal & Accounting Glossary

Definition: Usance


Usance

Quick Summary of Usance


Usance refers to the time allowed for the payment of foreign bills of exchange, according to law or commercial practice.




What is the dictionary definition of Usance?

Dictionary Definition


the period of time permitted by commercial usage for the payment of a bill of exchange (especially a foreign bill of exchange).

  1. The time allowed for the payment of short-term foreign bills of exchange. The time varies from country to country, however, in most countries, it’s typically set at 60 days.
  2. Formerly, the rate of interest applied to a loan.

Also:

  • Use.
  • Customary or habitual usage.

Full Definition of Usance


In international trade, usance is the allowable period of time, permitted by custom, between the date of the bill and its payment. The usance of a bill varies between countries, often ranging from two weeks to two months. It is also the interest charged on borrowed funds.

The terms also refers to the utilisation of economic goods to satisfy needs. In manufacturing, “usance” means “inputs.” It is used in “usance bills.” This terminology is used in banks in India, when dealing with Forex.


Examples of Usance in a sentence


I’ll open a 240-day usance L/C for the two thirds of your financing.
Our agents have advised us to stipulate that you grant us an additional 30 days usance on all payments.


Synonyms For Usance


use, custom, usage, practice, manner


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/usance/
Modern Language Association (MLA):
Usance. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
April 19, 2024 https://payrollheaven.com/define/usance/.
Chicago Manual of Style (CMS):
Usance. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/usance/ (accessed: April 19, 2024).
American Psychological Association (APA):
Usance. PayrollHeaven.com. Retrieved April 19, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/usance/

Definition Sources


Definitions for Usance 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: 16th February, 2020 | 0 Views.