Hundi Definition

ho͝ondē
hundi
noun
An informal system for transferring money, especially in South Asia, in which local agents disperse or collect money or goods on behalf of friends, relatives, or other agents without legal protection or supervision, trusting that all remaining obligations will be settled through future transactions.
American Heritage
A bill of exchange in South Asia.
American Heritage

Origin of Hundi

  • Hindi and Urdu huṇḍī bill of exchange, promissory note from Persian hunduvī, hindavī from variant of hinduvī, hindūvī Indian from hindū Indian from Hind India Hindi

    From American Heritage Dictionary of the English Language, 5th Edition

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