Tuesday, October 29, 2013

Del Credere Commission




An additional commission paid to consignee who guarantees for payment in case of credit sale is called del credere commission.

An agreement by that an agent or issue, in thought of a further premium or commission (called a del credere commission), engages, once he sells merchandise on credit, to insure, warrant, or guarantee to his principal the solvency of the client, the engagement of the issue being to pay the debt himself if it's not punctually discharged by the client when it becomes due.

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