commercial paper

American  

noun

1. negotiable paper, as drafts, bills of exchange, etc., given in the course of business.

2. corporate promissory notes, usually short-term and unsecured, sold in the open market.

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commercial paper British  

noun

1. a short-term negotiable document, such as a bill of exchange, promissory note, etc, calling for the transference of a specified sum of money at a designated date

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Etymology

Origin of commercial paper

An Americanism dating back to 1830–40

Example Sentences

Cass is dismissive of “debt refinancings,” but some of us are old enough to remember the 2008 credit crunch when businesses had trouble issuing commercial paper.

From The Wall Street Journal • Feb. 18, 2026

Leidos said it plans to fund the acquisition, slated to closed by the end of June, with cash on hand, new debt and commercial paper.

From The Wall Street Journal • Jan. 26, 2026

“There is voracious demand for any commercial paper that yields in excess of 5%,” he said.

From Barron's • Oct. 9, 2025

Multiple options exist for parking cash, such as investing in short-term government securities, money market instruments and corporate commercial paper.

From Los Angeles Times • Mar. 12, 2023

Any bank, if it has need for additional cash, may present for rediscount at the Bank of France the bills and other commercial paper which it has in its vaults.

From Readings in Money and Banking Selected and Adapted by Phillips, Chester Arthur