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Understanding Discount Rate

Discount Rate refers to the fee charged by Score to the Merchant for advancing funds on factored invoices. It is applied to the portion of the Billing Amount that is financed by Score and is deducted directly from the amount paid to the Merchant.

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Formula

Discount Amount = (Billing Amount - Down Payment) × Discount Rate

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Key Notes

Discount Rate depends on whether the Customer uses Payment Terms.
Discount Amount is not subject to GST as it relates to the purchase of invoices, which is classified as a financial asset transfer.
Discount Amount is not refundable in the case of a transaction refund.