Treasury bill

or treasury bill


noun

an obligation of the U.S. government represented by promissory notes in denominations ranging from $1000 to $1,000,000, with a maturity of about 90 days but bearing no interest, and sold periodically at a discount on the market.

Origin of Treasury bill

First recorded in 1790–1800

British Dictionary definitions for treasury bills

Treasury bill

noun

a short-term noninterest-bearing obligation issued by the Treasury, payable to bearer and maturing usually in three months, within which it is tradable on a discount basis on the open market

Cultural definitions for treasury bills

Treasury bills

Securities issued by the U.S. government. T-bills normally have fixed terms; that is, the purchaser cannot take possession of the accrued interest for a fixed period of time after purchase. T-bills are auctioned by the Treasury each week; the auction determines the six-month interest rate.