What is an advance?

In force

In this Chapter, advance means the provision or obtaining of funds by way of financial accommodation, by means of—

(a)

a loan, being—

(i)

an advance of money, or

(ii)

the payment of money for or on account of, or on behalf of, or at the request of, any person, or

(iii)

a forbearance to require the payment of money owing on any account whatever, or

(iv)

any transaction (whatever its terms or form) that in substance effects a loan of money, or

(b)

a bill facility, being one or more agreements, understandings or arrangements as a consequence of which a bill of exchange or promissory note—

(i)

is drawn, accepted, endorsed or made, and

(ii)

is held, negotiated or discounted to obtain funds,

whether or not the funds are obtained from the person who draws, accepts, endorses or makes the bill of exchange or promissory note and whether or not the funds are obtained from a person who is a party to any such agreement,

and includes contingent liabilities of the kind referred to in section 215.

This Act’s bill:Explanatory memorandum Second reading speech

Research tools for this sectionSubscription

Cited by Analyse Interrogate History Equivalents

The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.

206 What is an advance?