hundi
Sign in to savethumbnail|right|A hundi for Rs 2500 of 1951, stamped in the Bombay Province with a pre-printed revenue stamp. A hundi or hundee is a financial instrument that was developed in Medieval India for use in trade and credit transactions. Hundis are used as a form of remittance instrument to transfer money from place to place, as a form of credit instrument or IOU to borrow money and as a bill of exchange in trade transactions. The Reserve Bank of India describes the hundi as "an unconditional order in writing made by a person directing another to pay a certain sum of money to a person named in the
Article
6 sectionsContents
- History
- Types of hundi
- See also
- References
- Further reading
- External links
thumbnail|right|A hundi for Rs 2500 of 1951, stamped in the Bombay Province with a pre-printed revenue stamp. A hundi or hundee is a financial instrument that was developed in Medieval India for use in trade and credit transactions. Hundis are used as a form of remittance instrument to transfer money from place to place, as a form of credit instrument or IOU to borrow money and as a bill of exchange in trade transactions. The Reserve Bank of India describes the hundi as "an unconditional order in writing made by a person directing another to pay a certain sum of money to a person named in the order."
==History== thumbnail|right|Government issued hundis included a watermark to prevent forgery. Hundis have a very long history in India. Written records show their use at least as far back as the Twelfth century. The merchant Banarasi Das belonging to the Digambara Jain Sect, born in 1586, received a hundi for 200 rupees from his father to enable him to borrow money to start trading.