Bill Discounting

Bill Discounting

Zenith Bank (UK) Limited purchases the Instrument — i.e., a Bill of Exchange or a Promissory Note for instance — before it has been paid and credits its value (after deduction of fees and a ‘discount’ charge) to your account.

The discount charge is equivalent to the rate of interest applying to the advance from the date of purchase until the date the bill is actually paid. The size of the advance is determined primarily by the perceived risk associated with the instrument and the number of days left until payment is due.