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What are Installment Receipts
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A debt or equity issuance in which the purchaser does not pay the full value of the issue up front.
In the purchase of an installment receipt, an initial payment is made to the issuer at the time the issue closes; the remaining balance must be paid in installments, usually within a two-year period.
Although the purchaser has not paid the full value of the issue, he or she is still entitled to full voting rights and dividends.
These securities may also be referred to as installment receipts.
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