Licensing
Credit grantor
Any business that extends credit to a customer, by lending money or allowing payment over time. The original creditor on a collection account is the credit grantor.
A credit grantor is the original creditor on an account: the bank, finance company, retailer, or service provider that extended the credit in the first place. In collections, the distinction sets the regulatory lane, since collecting for the credit grantor is first-party work while collecting someone else's accounts generally falls under third-party collection licensing.
Credit grantors can carry licensing obligations of their own. Depending on the product and the state, extending consumer credit can fall under lending, retail installment, or sales finance statutes, each with its own registration and disclosure rules.
Related terms
Where this comes up
Credit grantor is one piece of getting and keeping a business licensed. We handle the filings, bonds, and renewals that surround it across every state where you operate.