Export LC (Advising/ Confirming/ Negotiation/ Discounting)

Export LC (Advising/ Confirming/ Negotiation/ Discounting)

An export LC is an undertaking by the LC issuing bank on behalf of the importer (buyer) to pay you as the exporter for the goods upon providing documentary evidence of the shipment of the goods in compliance with the terms and conditions of the LC. Export LC provides exporters with the confidence to allow them to ship their goods prior to the receipt of payment.

Benefits to Exporter (Seller)
  • Secured payment − payment will be made if all the documents provided are as per the terms and conditions of Letter of Credit from the LC issuing bank.
  • Financial Security − providing extra security and able to access pre-shipment financing and negotiation under letter of credit.
Negotiation under Export LC (Process)
  • Buyer sends you LC through buyer’s bank
  • CB Bank receives the LC and advises the LC
  • Exporter ships the goods and submit documents to CB Bank
  • CB Bank checks the documents under LC and send the documents to issuing bank once LC terms are complied with
  • CB Bank will receive acknowledgement of documents and a payment due date confirmation from the issuing bank via SWIFT
  • CB Bank will credit your account up to 80% of invoice value / LC value
  • At maturity, buyer pays CB Bank through buyer’s bank (LC issuing bank)
RATES AND FEES (SUBJECT TO CHANGES)

Pre-arranged fees & charge