Definition and synonyms of debtor from the online english dictionary from macmillan education this is the british english pronunciation of debtor view american english pronunciation of debtor. Any concession that creditors grant to one debtor would set a precedent for all the others. A debtor is any individual or institution that owes money to another individual or institution. Dictionary of business and management oxford reference.
An amount entered in a companys accounts which has been paid by a debtor. Generally speaking, a debtor acquires debt for a specific purpose, such as to fund a college education or to purchase a house. Against whom court has issued an order to pay a debt. Consumer debtor law and legal definition uslegal, inc. A creditor is a person, bank, or other enterprise that has lent money or extended credit to another party. Businessdictionary is a free easytouse free business glossary with over 30,000 definitions that span across critical businessrelated topics including. One who owes a debt or the performance of an obligation to another, who is called the creditor. The debtor was to deliver up as a pledge to the creditor what he could most easily dispense with deuteronomy 24. Debtor means each of congoleum, congoleum sales, inc. Debtor definition in the cambridge english dictionary.
The party to whom the money is owed might be a supplier, bank, or other lender who is referred to as the creditor. A debtor is an person, company or organization who owes money. Therefore, if you send out an invoice to your customer, after having delivered the goods or services, that customer is now a debtor and you are the creditor. Various regulations as to the relation between debtor and creditor are laid down in the scriptures. Generally speaking, a debtor owes money because they have been issued a loan or line of credit. Debtors are usually people, organizations or companies that have borrowed money in some form. Business law an introduction the business professor. Small business debtor bankruptcy law and legal definition. A mill, or millstone, or upper garment, when given as a pledge, could not be kept over night exodus 22. If you are a debtor it is best to pay off what you owe quickly so you dont have an adverse reaction to your credit score.
A duty or obligation to pay money, deliver goods, or render service under an express or implied agreement. Book debt definition of book debt by the free dictionary. The concept can apply to individual transactions, so that someone could be a debtor in regard to a specific supplier invoice, while being a creditor in relation to its own billings to customers. Everything you need to know about creditors and debtors. The definition of a creditor is a person to whom money is owed or someone who provides credit. Book debt meaning in the cambridge english dictionary. For example, a debtor is somebody who has taken out a loan at a bank for a new car. Debtor definition of debtor by the free dictionary. A debtor is an individual or business that owes money to another individual or business. A debtor is a person or entity legally required to provide a payment, service or other benefit to another person or entity the obligee.
In bankruptcy law, a person who files a voluntary petition or person against whom an involuntary petition is filed. Debtor in civil law, a party to an obligation, that is, a party obliged to perform a certain act or to refrain from performing an act. Dictionary ofbusiness fourth edition specialist dictionaries. Debtors in business in general terms, a debtor is a customer that has purchased a good or service and in return owes their supplier a payment. Debt definition, something that is owed or that one is bound to pay to or perform for another. Glossary of business terms adjective adj headwords for adjectives followed by information in square brackets only before a noun and not before a noun show any restrictions on where they can be used. Debtor meaning in the cambridge english dictionary. A creditor is an entity person or institution that extends credit by giving another entity permission to borrow money intended to be repaid in the future. What is the distinction between debtor and creditor. The term debtor refers to an individual or institution that owes money, also known as having debt. One of two or more debtors who are primarily liable to the same debt.
Where the debtor and the owner of the collateral are not the same person, the term debtor means the owner of the collateral in any provision of the article dealing with the collateral, the obligor. Jun 26, 2019 a debtor is a company or individual who owes money. Debtor article about debtor by the free dictionary. You can easily search, bookmark, highlight, and underline the text material. When the counterpart of this debt arrangement is a bank, the debtor is more often referred to as a borrower. Only persons able to exercise civil rights and obligations, that legal personssuch as corporations can act in the capacity of debtors. A term mostly of bankruptcy law as a bankruptcy filing comes with an automatic stay which may impact upon the liability of the nonbankrupt codebtor, especially if it is for consumer debt. The term is from jerry b harveys book the abilene paradox and other meditations on. A debtor is an entity or person that owes money to another party. Debtors legal definition of debtors legal dictionary. In general terms, the business activity of accepting and. Book debt synonyms, book debt pronunciation, book debt translation, english dictionary definition of book debt.
Default occurs when the debtor has not met its legal obligations according to the debt contract, e. Basically, the debtorcreditor relationship is similar to the customersupplier relationship. Debtor and creditor financial definition of debtor and creditor. In bilateral contractual obligations, one and the same person can be both a. This indicates that on a fundamental level, almost all companies and entities will be debtors at one time or another, since everyone makes purchases as a customer in some way or another. Terms english the amount of debt that to arabic cancelled debt dette. Debt is used by many corporations and individuals as a method of making large purchases that they could not afford under normal. The outward face of an organization as exhibited in its broucher, annual report rule, book. Mar 25, 2020 a debtor is an individual or entity that owes money to a creditor.
Noun n the codes c and u show whether a noun, or a particular sense of a noun, is countable an agenda, two agendas or uncountable. Such a business may continue to operate its business under chapter 11 bankruptcy protection. May 03, 2020 debt is an amount of money borrowed by one party from another. A debtor is a company or individual who owes money. Default may occur if the debtor is either unwilling or unable to pay its debt. Understand what is being asked when in dialogue related to business. In general terms, a debtor is a customer that has purchased a good or service and in return owes their supplier a.
These articles are designed to inform the reader of not only the definition and the associated variations but the proper use based on the context of the conversation. Debtors are often also called borrowers or obligors in contracts. A debtor also, debitor is an entity that owes a debt to another entity. Debtor a person, company, or other organization that owes money to another individual, company, or organization.
You can be a customer and a supplier at the same time, just as you can be a debtor and a creditor at the same time. The completed claim must be filed in the debtor s case pending in the bankruptcy court, debts based on sensitive information, such as confidential settlement agreements, can be filed under seal or through other procedures depending on that particular court, in these instances, supporting affidavits can be used and are recommendable. The entity may be an individual, a firm, a government, a company or other legal person. If the debt is in the form of a loan from a financial institution, the debtor is referred to as a borrower, and if the debt is in the form of securities such as bonds the debtor is referred to as an issuer. Learn the correct way of expressing yourself related to business. When the counterpart of this debt arrangement is a bank, the debtor is more often referred to as a borrower if x borrowed money from hisher bank, x is the debtor and the bank is the creditor. Debtors owe money to creditors, and therefore it it similar to the customersupplier relationship.
A debtor is an organization or person that owes money. Similarly, you are in debt to your suppliers if they have provided you with goods which you are yet to pay for in full. If the debt is in the form of a loan from a financial institution, the debtor is referred to as a borrower, and if the debt is in the. Debtor definition and meaning collins english dictionary. In bankruptcy law, it means a debtor who has debts under a prescribed amount. When a business offers a customer credit for the purchase of a good or service, then that customer becomes a debtor of that business. It will help to demystify terms such as bear hugs, whitegrey knights, cashcows and churning strongly recommendedtesthis wideranging and authoritative dictionary contains 7,000 entries covering all areas of business and management, including marketing, organizational behaviour, business strategy, law, and taxation. The term small business debtora subject to subparagraph b, means a person engaged in commercial or business activities including any affiliate of such person that is also a debtor under this title and excluding a person whose primary activity is the business of owning or operating real property or activities incidental thereto that has aggregate noncontingent liquidated secured and. There are numerous sources for definitions related to business terminology. A consumer debtor means a debtor whose debts are basically consumer debts. If a bank lent you money, the bank is the creditor and you are the debtor. The relationship between a debtor and a creditor is crucial to the extension of credit between parties and the related transfer of assets and settlement of liabilities. This az reference work is essential for business students, teachers and. Debtee definition of debtee by the free dictionary.
A debtor is a term used in accounting to describe the opposite of a creditor an individual that owes money, or who is in debt to an organisation or person. A debtor is a country, organization, or person who owes money. A debtor is a person or enterprise that owes money to another party. Glossary of important business, economic, and financial history terms. A person, company, or other organization that owes money to another individual, company, or organization. Customers who do not pay for products or services up front, for example, are debtors to your business, which serves as the creditor in this scenario. A companys financial statement is used to show a companys performance over a certain period of time, generally every fiscal quarter. Debtor means the person who owes payment or other performance of the obligation secured, whether or not he owns or has rights in the collateral, and includes the seller of accounts or chattel paper. A creditor is an entity or person that lends money or extends credit to another party. Dictionary term of the day articles subjects businessdictionary.
Debtor definition is one guilty of neglect or violation of duty. The glossary contains also concise definitions in english to give our readers an insight. An introduction 4 overview access to text all of this material in this text is available in desktop and mobile browser or pdf format at. Glossary of terminology and definitions for business and management. Use of debt in an organizations financial structure creates financial leverage that can multiply yield on investment provided returns. Middle english dettour, from old french dettor, from latin debitor, from debitus, past participle of debere, to owe. A debtor is an entity that owes a debt to another entity. This can occur with all debt obligations including bonds, mortgages, loans, and promissory notes. If someone took a loan from a financial institution, the debtor is normally referred to as a borrower. Debtor legal definition of debtor legal dictionary. Codebtor legal definition merriamwebster law dictionary. Middle english dettour, from old french dettor, from.
Definition of debtor accounting terms invoiceberry. Debitor definition and meaning collins english dictionary. Thus, there is a creditor and a debtor in every lending arrangement. This pdf document allows you to expand the table of contents on the lefthand side of the page. In very general terms, a debtor is anyone who owes money to a creditor. A debtor can be an entity, a company or a person of a legal nature that owes money to someone else. Companies that issue bonds are perhaps the most wellknown debtors.
Even a very wealthy person or company is a debtor in some respects, since there are always unpaid invoices payable to suppliers. Companies can issue debt to the public in the form of bonds or they can acquire debt from a bank or loan institution. Debt is one of the most common forms of financing businesses use to grow and maintain their operations. Debtor definition, a person who is in debt or under financial obligation to another opposed to creditor. A debtor is an individual or entity that owes money to a creditor. Debtor is a term used in the accounting world to refer to a party that owes money to a company or individual.
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