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Can third party open LC on seller on behalf of buyer what is the procedure?
Wiki User
∙ 9y ago
A third party can open the LC on the seller. This part of the transaction must be done on behalf of the buyer.
Wiki User
∙ 9y ago
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Is the buyer or seller responsible for title insurance?
Here in California, it is a matter of local custom. In Southern California, typically the seller agrees to purchase the owners policy for the buyer, the buyer supplies the title insurance for the lender. In Northern California, the buyer typically pays for both policies. It is, however, a matter that is covered in the contract between the seller and buyer and is negotiable, as is everything else. All closing costs can be negotiated as part of the sales contract. Who pays for title insurance varies from state to state based on local custom, but can be negotiated between the buyer and seller as part of the sales contract. There are no laws providing for either party to be required to pay. In the case where the seller has elected to pay title expenses, the buyer needs to make sure that the Lender has approved those fees to be paid by the seller. Some types of mortgages require that the buyer/borrower have a certain amount of funds available for the closing fees and may "cap" what fees can or cannot be paid by the seller in behalf of the buyer.
What is the purpose of a home seller's concession?
Seller-paid concessions, when used properly, can mean the difference between closing a home sale and losing one. A concession is anything of value added to the transaction by the seller, builder, developer, salesperson or any interested party. A concession may also include any closing costs that would normally be paid by the buyer or cash given to the buyer to lower non-housing debts. Funds received from a relative to assist with a home purchase, or cash contributed from an employer as part of a corporate transfer are not considered seller concessions.
What are the disadvantages to the seller when they are carrying the financing for a house?
If the seller has a mortgage on the subject property and the person who is buying it from him does not make the monthly payment, the seller is obligated to pay. The seller is holding all of the risk under his credit profile while hoping that the other party will pay. The seller risks the other party destroying the property. If the other party doesnt pay, seller will have to attempt to sell his propety again and may have to update or do repairs to make it attractive.
What are letters of credit?
A letter of credit is basically a promise to pay a certain sum of money to a seller. Letters of credit are issued by banks to see that sellers are paid as long as they deliver the goods or services required by the buyer.A letter of credit is thus a document issued by a buyer's bank to a seller of goods or services, to whom the payment is guaranteed, provided the seller delivers the goods or services required by a third-party buyer. The issuer after making the payment to the seller, collects the amount from the buyer. The document acts essentially as a guarantee to the seller that it will be paid by the issuer of the letter of credit, regardless of whether the buyer ultimately pays or not. Thus, the risk that the buyer may fail to pay the money is transferred from the seller to the letter of credit's issuer- namely, the bank.Letters of credit are common in international trade for large transactions between a supplier in one country and a buyer in another country because the bank acts as an neutral party between the buyer and the seller.The International Chamber of Commerce Uniform Customs and Practice for Documentary Credits is followed (UCP 600 being the latest version) while issuing a LC.The parties to a letter of credit are the supplier, usually called the beneficiary, the issuing bank, of whom the buyer is a client and in some cases an advising bank where the beneficiary is a client. Almost all letters of credit are irrevocable, i.e., cannot be amended or canceled without the consent of the beneficiary, issuing bank, and confirming bank, if any. In executing a transaction, letters of credit incorporate functions common togiros and travelers's cheques.M.J.SUBRAMANYAM, XCHANGING TECHNOLOGY SERVICES, BANGALORE
What is the difference between cash and credit purchases?
== == Cash is offered by the buyer, to the seller. Cash is currency, as in dollars. Credit is where the buyer offers a credit card, which is a promise to pay, by the credit card company, who then bills the card holder for the purchase price plus a interest rate, for the service of not having to pay at the time that the items are bought.In an accounting point of view, cash purchases appear in the cash book. A credit purchase records a transaction in a party's name showing that we owe some money to that party to be paid later.
Is the buyer or seller responsible for title insurance?
Here in California, it is a matter of local custom. In Southern California, typically the seller agrees to purchase the owners policy for the buyer, the buyer supplies the title insurance for the lender. In Northern California, the buyer typically pays for both policies. It is, however, a matter that is covered in the contract between the seller and buyer and is negotiable, as is everything else. All closing costs can be negotiated as part of the sales contract. Who pays for title insurance varies from state to state based on local custom, but can be negotiated between the buyer and seller as part of the sales contract. There are no laws providing for either party to be required to pay. In the case where the seller has elected to pay title expenses, the buyer needs to make sure that the Lender has approved those fees to be paid by the seller. Some types of mortgages require that the buyer/borrower have a certain amount of funds available for the closing fees and may "cap" what fees can or cannot be paid by the seller in behalf of the buyer.
If the party you are buying the car from owes the bank more than what you agree to pay IF both send in a check s who gets the title the buyer or the seller and how is the buyer protected?
The seller will get the title. It may vary in different states, but I would suggest the buyer have a notarized document prepared which has a promise that the seller will turn the vehicle/title over. It a chance that buyer will take.
Who are the parties in the credit transaction?
buyer, seller, and third party facilitating (providing gateway/finds transfer)
If a seller has delivered goods to a buyer who in turn has sold them to a third party and the buyer goes into liquidation can the seller retain title to the goods until he has been paid?
Under certain circumstances, and depending on local law, sometimes "yes".
Is a contract considered executed if it signed by one party and mailed to the other party and returned to the original party with both signatures?
I think you just have a confusion of terms here. The situation you described will be considered an agreed upon enforceable contract. A contract will be considered execute when all of the duties of each party have been fulfilled. (For example, when a seller sends the goods to the buyer and the buyer pays the seller for the goods).
What is the Contract called which lets one party deny other party rights to do business transaction with anyone else?
Here are two types of contracts that may answer your question: Requirements contract - A Buyer agrees to purchase all of their needed from a certain seller Output contract - Buyer agrees to purchase all that is produced by seller
What is the meaning of 'third-party software'?
The first two parties are the entity purchasing the software (the buyer), and the entity manufacturing the software (the seller).
What was a slave broker?
A broker is a party that arranges transactions between a buyer and a seller. Thus a slave broker was a person that negotiated the sale and purchase of slaves.
What is a simple definition for accepted value?
What a seller would accept, and what a buyer is willing to pay for a thing, when neither party is under stress to complete the sale.
How long after a car sale can a private party buyer return the car?
After a car sale, a private party can return the car within thirty days. This return policy is dependent on the individual seller.
What happens when a vehicle is purchased outright from a private seller and the title has a third party lien and the vehicle gets repossessed?
VICTIM buyer has to pay off the leinholder to get car. And/or sue con seller. Leinholder WILL get their money. GOOD LUCK...
Is a sale agreement binding if the other party dies?
Depends on which party died. If it was the buyer, well, no. You can't expect to get payment from a deceased person, besides what use would the item be to someone who is deceased. If it was the seller, the sale must have been written down, notarized and agreed to by the seller prior to the death.
