Written by 3:48 AM General Views: 1

Bankers’ Acceptance (BA)

A bankers’ acceptance (BA) is a short-term credit investment created by a non-financial firm and guaranteed by a bank.

BA’s are frequently used to finance the lending activity of Canadian banks.

30-day bankers acceptance rates are also correlated with variable-rate mortgage discounts since lenders factor in BA yields when setting variable pricing.

Visited 1 times, 1 visit(s) today

Last modified: January 6, 2009

Robert McLister is one of Canada’s best-known mortgage experts. A mortgage columnist for The Globe and Mail, interest rate analyst and editor of MortgageLogic.news, Rob has been covering Canada's mortgage market since 2007.

Close