What are some types of letter of credit?
Documentary letter of credit, open letter of credit, confirmed letter of credit,unconfirmed letter of credit, revolving letter of credit, fixed letter of credit,transferable letter of credit,nontransferable letter of credit,revocable letter of credit,irrevocable letter of credit,back to back letter of credit. ...
Asked in Personal Finance, Credit Reports, Improving Your Credit Rating, Small Business Loans, Money Management, Credit
How is opening letter of credit different from establishing letter of credit?
Both has same meaning, opening letter of credit establishing letter of credit once letter of credit is opened, credit is established. ...
All the clauses of letter of credit?
Banking organizations usually write letter of credit. The purpose of the letter of credit is so that you don't have to put down a deposit. This deposit could be for an electric company or any such place. You do need good credit to get a letter of credit. ...
Asked in Personal Finance, Credit and Debit Cards, Home Equity and Refinancing, Credit Reports, Money Management, Credit
Buyers credit - Letter of credit?
A red clause letter of credit is similar to a letter of Credit which is written to state or confirm the availability of funds for a particular transaction between the seller and buyer. However, a clause is included in the letter stating that the stated amount or credit can be advanced immediately on showing the letter. ...
How do you discount a letter of credit?
HelloMost banks discount your letter of credit at rate of 3% to 20% but n our case we have a very strong relationship with our bank and we can for certainty discount your letter of credit at 75-80%.Please contact me if you need to discount your letter of credit or can have a letter of credit issued .my email:firstname.lastname@example.org ...
Asked in Importing and Exporting
How do you explain the working of Letter of Credit?
Explain the significance of letter of credit in international marketing?
What is payment credit as a type of letter of credit?
A dispute letter to credit bureaus is written by an individual to the credit bureau over the some issue related to credit standing. The individual would need to be clear in his letter of dispute against that of the credit bureau, providing evidence where possible to proof the error on the part of the credit bureau. ...
Asked in Credit and Debit Cards, Accounts Payable
What is the journal entry to record letter of credit?
I received letter of credit from my customer how i have to enter my entries ...
Asked in Accepting Credit Cards, Credit Reports
Difference between banker's acceptance and letter of credit?
differecences between banker's acceptance and letter of credit
Asked in The Difference Between
What is the difference between a letter of credit and a supercedeas bond?
is a letter of credit considered the same as a supercedeas bond?
Asked in Credit and Debit Cards
What is the difference between letter of credit letter of guarantee?
Both Letter of Credit and Letter of Guarantee are commitment to payment by the issuer of the instrument (generally a Bank). In letter of credit, the issuer has to fulfill his commitment on fulfilling the terms and conditions of the letter of credit by the beneficiary. Whereas, on the other hand, in letter of guarantee the issuer has to make payment, when the beneficiary is unable to fulfill the terms & conditions of the letter of guarantee. ...
Is this possible to open a Letter of credit opened in one country and import doing in another country by using the same letter of credit?
the letter of credit is opened only for one business with a certain amount ...
What is letter of credit at site?
Letter of credit at site is a kind of Letter of Credit. It is basically when the bank has to release the payment when the goods reach the specified site as agreed upon in the terms and conditions of the L/C or the transaction ...
Out of different types of letters of credit what is revolving letter of credit?
A Revolving letter of Credit is issued by a financial agency to its clients and potential customers of the availability of credit facility offered. The letter contains the credit terms and conditions that are attractive to the clients and potential customers. It is one of the ways which a financial agency can generate income. ...
Is Standby Letter of Credit always cash backed?
no, we can issue standby letter of credit to clients with such credit facilities. although it may be backed with trust receipt depending on the credit standing of the client. cbctsdp trainee ...
Difference between buyers credit and letter of credit?
Buyer's credit is extended to finance the purchase of goods or services. A letter of credit guarantees that a payment will be received. If the buyer doesn't make a payment, the bank has to pay. ...