Letters of Credit
Documentary Letter of Credit - a financial obligation of Bank (issuing bank) on behalf of the buyer to pay to the seller the agreed amount specified by the contract under condition of providing by the seller stated in the letter of credit documents.
For this operations customer generally have to make cash deposit or provideanother collateral, in order to ensure the letter of credit
If you have questions you can refer to specialists at the Bank's branches.
|Advising of the export LC||0,1% (min USD 100, max USD 500)|
|Checking of documents (each set)||0,3% (min USD 100, max USD 300) plus mail expenses USD 100|
|Consultation with LC draft preparation (shall be refundable by reducing commission for LC opening)||USD 100|
|LC issuance arrangement||up to 1% from LC amount (min USD 50)|
|In case of 100% of cash collateral||0,75% per quarter (min USD 250)|
|In case of other collateral (within the credit agreements)||up to 2% per quarter (min USD 250)|
- Buyer and seller conclude agreement stipulating payment through letter of credit
- Buyer provides instruction for opening of letter of credit to the issuing bank
- Issuing bank opens letter of credit and send it to advising bank with request to advise letter of credit to beneficiary. Advising bank may act as executing and confirming bank
- Advising bank advises opening of letter of credit to beneficiary (Seller)
- Seller ships the goods of buyer (after getting of letter of credit by beneficiary and being sure that its conditions correspond with the conditions of agreement)
- Delivery of goods to the Buyer
- Providing of documents to executing/confirming bank. Checking of documents by executing bank. In case of it absolutely conformation with conditions of letter of credit, bank makes payment to beneficiary
- Sending of documents to the issuing bank and getting of reimbursement by the executing bank from the issuing bank
- Transfer of documents on letter of credit to the buyer
Good to Know
Export documentary letter of credit - is scheme of settlements, when customer of the Bank is the seller (exporter).
Import documentary letter of credit - is scheme of settlement when customer of the Bank is the buyer (importer).
Здесь вы можете сделать предварительный расчет кредитования, за более точной информацией необходимо обратится к кредитному специалисту в одно из отделений DemirBank.