does not have stable value and may result in loss of capital
require moderate technical understanding of how to send funds failure to send correctly may result in loss of funds not as widely of an accepted means of payment compared to other methodsspecial considerationsthe payee may choose to compromise on debt and accept partial payment in lieu of full settlement of the obligation or it may offer a discount at their discretion the payee may also impose a surcharge for example as in a late payment fee or for the use of a certain credit card acceptance of payment by the payee extinguishes a debt or other obligation a creditor cannot unreasonably refuse to accept a payment but payment can be refused in some circumstances such as on a sunday or outside banking hours a payee is usually obligated to acknowledge payment by producing a receipt to the payer which may be regarded as an endorsement on an account as paid in full every company that receives payments must set their payment terms this payment term dictates when payment is due and whether the company offers a discount for early payment loans might use an equated monthly installment emi payment system emi uses fixed payment amounts meant to be submitted on a specific date each month the most common form of payment term is called net 30 where a payment is due 30 days from the receipt of the invoice a company may set the number of days to whatever they want however these terms must often be agreed to in the contract with the payee in addition a payer may offer a discount i e 1 if payment is made within a short period of time i e 10 days this is written as 1 10 net 30 and the company may offer that discount if it is urgent they receive cash in a very basic transactional contract a good or service is provided at the same time immediately proceeding or immediately following payment consider buying an apple at a grocery store you must pay before you can take it out of the store consider a haircut you must pay immediately after the barber styles your hair for more complex agreements that may require delivery of a good or a service to be performed over time consider a real estate developer that charges a 4 fee on a building they are constructing the agreement for the developer fee may call for quarterly payments to the developer based on the percentage of completion of the building another example may be keeping a lawyer on retainer payment must be made on a recurring basis in advance of any services being provided in some contractual situations one party to the contract may require payment upfront before service has been performed or the good has been delivered more often for service agreements the payee that receives payment has an obligation to perform on the contract after payment has been received in addition that payee must follow strict accounting guidance that limits their ability to record revenue until the payment is actually earned 