Crossword Dictionary

What's The Definition Of Discount?

\Dis"count`\ (?; 277), v. t. [imp. & p. p. {Discounted}; p. pr. & vb. n. {Discounting}.] [OF. desconter, descompter, to deduct, F. d['e]compter to discount; pref. des- (L. dis-) + conter, compter. See {Count}, v.] 1. To deduct from an account, debt, charge, and the like; to make an abatement of; as, merchants sometimes discount five or six per cent for prompt payment of bills. 2. To lend money upon, deducting the discount or allowance for interest; as, the banks discount notes and bills of exchange. Discount only unexceptionable paper. --Walsh. 3. To take into consideration beforehand; to anticipate and form conclusions concerning (an event). 4. To leave out of account; to take no notice of. [R.] Of the three opinions (I discount Brown's). --Sir W. Hamilton.
\Dis"count`\ (?; 277), v. i. To lend, or make a practice of lending, money, abating the discount; as, the discount for sixty or ninety days.
\Dis"count`\, n. [Cf. F. d['e]compte. See {Discount}, v. t.] 1. A counting off or deduction made from a gross sum on any account whatever; an allowance upon an account, debt, demand, price asked, and the like; something taken or deducted. 2. A deduction made for interest, in advancing money upon, or purchasing, a bill or note not due; payment in advance of interest upon money. 3. The rate of interest charged in discounting. {At a discount}, below par, or below the nominal value; hence, colloquially, out of favor; poorly esteemed; depreciated. {Bank discount}, a sum equal to the interest at a given rate on the principal (face) of a bill or note from the time of discounting until it become due. {Discount broker}, one who makes a business of discounting commercial paper; a bill broker. {Discount day}, a particular day of the week when a bank discounts bills. {True discount}, the interest which, added to a principal, will equal the face of a note when it becomes due. The principal yielding this interest is the present value of the note.