Bill Discounter

[Muggins in Sussex]

I've just found someone in 1881 who was a "money lender" and "bill discounter"

What was a bill discounter? Is it something like a factor?

Would he have been likely to be a fairly unsavoury character?

Thank you

[MargaretMarch]

I would think he was someone who bought debts, a bit like the modern day debt collection agencies. As a money lender not necessarily an unsavoury character, just another way of earning a living unless he used unsavoury methods to collect the debts!
Margaret

[Muggins in Sussex]

Thanks Margaret :)

I think I am so used to finding unsavoury characters in my tree that I assumed this was another! :d

[Mary from Italy]

Discount:

(2) In finance, the deduction from the face value of Commercial paper such as a Bill of exchange or acceptance, in exchange for the option of receiving the relative cash payment before the maturity of the paper. By purchasing at a discount, the buyer of the commercial paper is compensated for the loss of interest on the funds up to the paper’s maturity.


http://www.intracen.org/tfs/docs/glossary/de.htm#Discount

[MargaretMarch]

Ah, so it more like buying endowment policies before they mature.
Margaret

[Uncle John]

A lot of small companies do their accounts via a factoring company. The company pays them (say) 85% of the invoice value straight away and it's then the factor's problem to collect. A relatively safe but expensive way of managing cashflow.

[Muggins in Sussex]

Thank you for your replies

I understand a lot better now