Before passage of the Neutrality Act of 1939, Roosevelt persuaded Congress to allow the sale of military supplies to allies like France and Britain on a “cash-and-carry” basis: They had to pay cash for American-made supplies, and then transport the supplies on their own ships.

The Neutrality Act of 1937 did contain one important concession to Roosevelt: belligerent nations were allowed, at the discretion of the President, to acquire any items except arms from the United States, so long as they immediately paid for such items and carried them on non-American ships—the so-called “cash-and-carry” provision.

Cash and carry (World War II) Cash and Carry was a policy by US President Franklin Delano Roosevelt announced at a joint session of the United States Congress on September 21, 1939, subsequent to the outbreak of war in Europe.

: sold or provided for cash and usually without delivery service cash-and-carry 2 of 2 noun : the policy of selling on a cash-and-carry basis

The U.S. Congress passed a significant Neutrality Act in 1937 that allowed trade with other countries under the condition that American ships were not used -- the so-called “cash-and-carry” principle. This policy was renewed in November 1939 with the Neutrality Act of 1939. Explore this article.