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

Moody's cut its rating for Hawaiian Electric's senior unsecured notes to Ba3 from Baa1, its preferred stock rating to B3 from Baa3 and its short-term rating for commercial paper to "Not Prime" from "Prime-2".

From Reuters • Aug. 18, 2023

In the matter of a wide market for commercial paper, however, an impersonal market, with great fluidity, we are well behind not only England, but also Continental Europe.

From The Value of Money by Anderson, Benjamin M.