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Definition. Money received from the customer when it is unclear what the money is intended to pay, or is a duplicate payment. Money is placed on a customers account until it can be determined what to do with the funds.
In accounts receivable (AR), paid on account means the payments received by a company from customers against sales made on credit.
adjective. having paid the dues, initiation fees, etc., required by an organization or association.
Payment on account - What is payment on account? Payment on account is any partial payment of an amount that is owed, either to you or by you, thats not matched to a specific invoice.
If you buy or pay for something on account, you pay nothing or only part of the cost at first, and pay the rest later.
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A phrase usually found in a contract or promissory note requiring payment or performance by a particular date or prior to that date.

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