CP is a short term unsecured promissory note issued for a specified amount and maturing on a specified date. It can be issued by corporate, Financial Institution, Primary Dealer having a maturity of 7 days to one year. CPs are issued with a minimum of INR 500,000 or multiples thereof in a demat form. Discount is calculated on actual number of days / 365 day year basis. Discount is calculated on a rear-ended basis. Price is calculated up to a maximum of four decimal places.
IDBI Bank acts as Issuing and Paying Agents (IPA) for our clients wishing to raise commercial papers.