sum certain

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Sum certain is a clear amount agreed upon in a contract. A sum certain can be a purchase price or an amount for a loan. The main characteristic of a sum certain is the amount is absolutely clear without any room for different interpretations. A sum certain is to be contrasted with a price that is based on a changing base like stock value or market based interest rates. 

[Last updated in September of 2021 by the Wex Definitions Team]