Origin of creditorMiddle English creditour from Classical Latin creditor: see credit
The definition of a creditor is a person to whom money is owed or someone who provides credit.
An example of a creditor is a credit card company.
One to whom money or its equivalent is owed.
creditor - Legal Definition
One to whom money is owed or who gives credit to another. See also debtor.account creditor
One to whom the balance of an account is owed. See also debtor.judgment creditor
One who has the legal right to collect a specific sum because of a judgment entered in his or her favor in a civil action. See also levy, writ, and debtor.secured creditor
A creditor who has been given or pledged collateral to protect against loss if the debtor fails to fully pay the debt owed.unsecured creditor
A creditor who is not a secured creditor.
- When a debtor tenders the amount due to his creditor and the creditor refuses to accept, the debt is not discharged, but if the debtor is subsequently sued for the debt and continues willing and ready to pay, and pays the amount tendered into court, he can recover his costs in the action.
- If a debtor had neither money nor crop, the creditor must not refuse goods.
- The debtor could also pledge his property, and in contracts often pledged a field, house or crop. The Code enacted, however, that the debtor should always take the crop himself and pay the creditor from it.
- Distraint on a debtor's corn was forbidden by the Code; not only must the creditor give it back, but his illegal action forfeited his claim altogether.
- The creditor has the right of claiming the aid of the law against the defaulting municipality; and the amounts, the terms, and the time of duration of local debt are supervised in order to prevent injustice to particular persons or improvidence with regard to the revenue and property of the local units.