what is the difference between banker s acceptance and commercial paper 
commercial paper is a promissory note that pays a fixed rate it s unsecured and can be for a few days or years commercial paper is generally used to cover short term obligations such as the cost of a new project or short term receivables bas are also short term promissory notes although they have the unconditional guarantee of a bank and are often used for trade the bottom linebanker s acceptances are relatively safe investments from an investment perspective because they re money market investments and they re in line with t bills from a risk return perspective bas help boost trade by reducing transaction related risks for importers and exporters 