Question

Del credere commission is allowed to the consignee to bear :​

Answer 1

cost of bad debts

Explanation:

The bad debts incurred due to non payment by debtors is usually borne by the principal but incase where a del credere commission is paid the loss of bad debts is borne by the agent and irrespective of bad debts all money on sale is payable by agent to principal

Answer 2

Del credere commission is allowed the consignee to bear the loss due to bad debts.

• Del credere commission is a unique type of commission that is assigned by the consignor to the respective consignee.
• Del credere commission is a type of paid commission where the commission gets paid directly without the help of someone else acting as an intermediate form of help.
• Upon setting the commission, the consignee will have to be responsible for every kind of bad debt that might arise due to any credit.
• Hence, the Del credere commission is allowed the consignee to bear the loss due to bad debts.

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