Is “Defray” a Scrabble word?

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Yes
DEFRAY
Valid in at least one Scrabble dictionary

Valid in these dictionaries

SOWPODS / CSW
Scrabble UK & International
Valid
TWL / NWL
Scrabble North America
Valid
Large English Dictionary
General English word list
Unavailable

Meaning of Defray

verb
  1. 1.To spend (money).

  2. 2.To pay or discharge (a debt, expense etc.); to meet (the cost of something).

  3. 3.To pay for (something).