Negotiable instrument

Sir, Bearer bonds are like promissory note but which are bearer in nature. [In the sense, promissory note includes currency notes of India]

Pranav Connecting...

Pranav Connecting...

CA Inter


19-Jun-20 19:18


Answers (2)

Bonds are instruments which indicate that a loan is given. There is no promise to pay. It is more like a certificate. Promissory notes payable to bearer can be issued only by RBI under the RBI Act.

Suraj Lakhotia

Suraj Lakhotia


19-Jun-20 19:20