Login or register (free and only takes a few minutes) to participate in this question.
You will also have access to many other tools and opportunities designed for those who have language-related jobs (or are passionate about them). Participation is free and the site has a strict confidentiality policy.
22:13 Dec 13, 2010
Russian to English translations [PRO] Bus/Financial - Finance (general)
Russian term or phrase:уступке прав и переуступке обязательств
договору Об уступке прав и переуступке обязательств
it s to do with assigning accounts receivable to another party.
Would "Accounts receivable pledging agreement and reasignment of
obligations " cut the mustard ?
Explanation: A lending agreement, often long term, between a borrowing company and a lending institution whereby the borrower assigns specific customer accounts that owe money (accounts receivable) to the lending institution. In exchange for assignment of accounts receivable, the borrower receives a cash advance for a percentage of the accounts receivable. The borrower pays interest and a service charge on the advance.
If the borrower retains ownership of the accounts, then the borrower continues to collect the accounts receivable and passes the payments on to the lender. Since the borrower retains ownership, he also retains the risk that some accounts receivable will not be repaid. In this case, the lending institution may demand payment directly from the borrower. This arrangement is called assignment of accounts receivable with recourse.
Assignment of accounts receivable should not be confused with pledging or factoring of accounts receivable.