What is a letter of credit? What is a Letter of Credit

A letter of credit is a letter of credit that is opened by the bank according to the customer. Refers to a letter of credit opened by two L/C applicants in each other's beneficiaries. Two, back-to-back letters of credit and split letters of credit.

Back-to-back L/C is a letter of credit in which the intermediary merchant is the applicant for issuance, and the original advising bank, or the designated bank, is required to open it to the second beneficiary, and the terms are subject to the terms of the original L/C, and the business volume of the standby L/C has long exceeded that of the commercial L/C. In order to.

2. What is a standbyletter standbyletter?

2. What is the letter of credit in the case of letter of credit (reciprocalletter of credit) is a letter of credit issued by the import and export parties to each other in order to solve the problem of import and export balance, using compensation and processing, and determining the import amount with the export amount of each other. The first letter of credit is opened on the basis of a contract for the import of raw materials or spare parts, and the second letter of credit is opened on the basis of an import contract for the goods produced (incoming materials, incoming parts, etc.). The first letter of credit can be opened at the same time and take effect at the same time, or it can be opened separately and effective separately.

3. What is the operation process of the letter of default guarantee and the letter of credit that is, the two banks are the issuing bank and the advising bank of each other, which is mostly seen in barter** and compensation**. SFYH is a good foreign trade platform! Split letter of credit refers to the two letters of credit issued by the applicant to each other as the beneficiary, hello, from Yao Yao for you, hope to help you to open the letter of credit, that is, the two banks for each other as the issuing bank and the advising bank, mostly in barter** and compensation**, etc.

It is recommended that you go to SFYH to learn that the most important thing for heat dissipation in the case is 、、、 air duct, and the most fundamental idea is to speed up the process of heat exchange, as well as increase the air volume of cold air intake and increase the amount of hot air discharged from hot air. Some high-end practices, such as better, right.

Split letter of credit refers to the letter of credit opened by the applicant for the issuance of two letters of credit in each other's beneficiary. The characteristic of the letter of credit is that the beneficiary (exporter) and the applicant (importer) of the first letter of credit are the applicant and beneficiary of the second letter of credit.

1.The advising bank of the first L/C is usually the issuing bank of the second L/C. The amount of two letters of credit is equal or approximately equal, and the two letters of credit can be opened at the same time or one after another.

2.The two parties to the transaction are worried that after exporting or importing with the first letter of credit, the other party will not fulfill the obligation of import or export, so they adopt this interrelated and mutually conditional issuance method to bind each other.

3.From the perspective of the effective time, there are two ways to open the letter of credit: one is the letter of credit that takes effect at the same time, that is, the letter of credit issued by one party, although it has been accepted by the other party, but does not take effect for the time being, and when the other party opens a letter of credit and is accepted by the beneficiary of the card, the other party will notify the other bank that the two certificates will take effect at the same time; The second is the separate opening of the letter of credit, that is, the letter of credit issued by one party will take effect immediately after being accepted by the beneficiary, and there is no need to wait for the other party to open the letter of credit to return.

In accordance with the provisions of China's Measures for the Settlement of Domestic Letters of Credit, the application for the issuance of L/C shall sign an agreement with the issuing bank, and at the same time submit a guarantee to the issuing bank; and shall submit the ** contract signed between it and the beneficiary. In terms of the issuing bank, it should set the payment term, validity period, document delivery period and effective point of the L/C according to the ** contract and the application for issuance.

Article 13 of the Measures for the Settlement of Domestic L/C shall sign an agreement clarifying the rights and obligations of both parties before issuing the L/C. The issuing bank may require the applicant to deposit a certain amount of deposit, and may require the applicant to provide legal and effective guarantees such as mortgage, pledge and guarantee according to the applicant's credit standing. To apply for the issuance of a letter of credit, the applicant must submit the ** contract signed with the beneficiary.

The issuing bank shall, in accordance with the ** contract and the issuance application and other documents, reasonably and prudently set the payment term, validity period, document delivery period and effective point of Suigao L/C.

Letter of credit refers to a written guarantee document issued by the issuing bank at the request of the applicant in the transaction activities, and the seller can hold the certificate to request the bank to pay the corresponding amount, which is a form of payment. China's "Measures for the Settlement of Domestic L/C" stipulates that the term "domestic L/C" in these Measures refers to the commitment of the bank to pay for the documents submitted in accordance with the applicant's application.

1. How long does it take to get a mortgage after signing the contract?

There is no explicit legal provision on the time for applying for a mortgage, and it is agreed by the buyer and the house ** person in the house sale contract or pre-sale contract. Mortgage application refers to applying for a housing loan from a bank, and the bank will review the applicant's credit status and decide whether to issue a loan to the applicant. When the buyer and seller sign the purchase contract, they must agree on how to pay, and the mortgage purchase is another payment method in addition to paying the full amount for the purchase, which requires the buyer to take the initiative to apply for a loan, and the bank has no obligation to take the initiative to contact the buyer for the mortgage, and there is no law that requires the bank to complete the process within a certain time limit.

In the house sale and purchase contract, it can not only stipulate the way to pay for the mortgage, but also stipulate when to handle the mortgage, it can be agreed how long after the buyer provides the information, the seller must cooperate with the information required by the bank, and the handling method when the agreement is violated, such as the specific amount of liquidated damages, or the calculation method of liquidated damages.

2. What are the commonly used payment methods in the world?

International** payment methods are: L/C l.c.; T/T t; Statement Against Payment dp. L/C is currently the most important and commonly used payment method in the national base; Telegraphic transfer t t refers to the remitting bank at the request of the remitter; DPD means that the buyer's submission is conditional on payment by the importer.

3. What are the prosecution standards for the crime of forging financial documents?

The Criminal Law stipulates that the prosecution standard for the crime of forging and altering financial documents:

1) Forging one or more credit cards, or forging 10 or more blank credit cards;

2) Forging or altering bills of exchange, promissory notes, or checks, or forging or altering entrustment collection vouchers, remittance vouchers, bank deposit receipts and other bank settlement vouchers, or forging or altering letters of credit or accompanying documents or documents, with a total denomination of 10,000 yuan or more or more than 10 pieces.

Article 2 of the Measures for the Settlement of Domestic Letters of Credit.

The term "domestic letter of credit" (hereinafter referred to as "letter of credit") in these measures refers to the commitment of banks (including policy banks, commercial banks, rural cooperative banks, village and township banks and rural Fengming Village Credit Cooperatives) to pay for the documents in accordance with the applicant's application.

The letter of credit provided for in the preceding paragraph is an irrevocable documentary credit denominated in RMB.

Article 3 of the Measures for the Settlement of Domestic Letters of Credit.

These measures apply to the letter of credit services provided by banks for goods and services between domestic enterprises and institutions. Services** include, but are not limited to, transportation, tourism, consulting, communications, construction, insurance, finance, computer and information, exclusive rights use and licensing, advertising, film and audio-visual services.

L/C refers to a written voucher issued by the bank to the exporter (seller) at the request of the importer (buyer) to guarantee the responsibility of paying the purchase price.

In international activities, the buyer and the seller may not trust each other, and the buyer is worried that the seller will not deliver the goods according to the contract requirements after the advance payment; The seller is also concerned that the buyer will not pay after shipping the goods or submitting the shipping documents. Therefore, it is necessary for two banks to act as guarantors for both the buyer and the seller, to collect and submit documents on behalf of the buyer, and to replace commercial credit with bank credit. The instrument used by banks in this activity is the letter of credit.

Before the expiration date of the letter of credit, the bank authorizes the exporter to issue a bill of exchange not exceeding the prescribed amount under the conditions specified in the letter of credit, with the bank or its designated bank as the payer, and to attach the shipping documents as required, and collect the goods at the designated place on time.

The process of handling the letter of credit:

Material preparation: transaction contract, application, deposit, shipping documents, etc.

1. If the applicant fills in the application form for issuance of the certificate according to the contract and pays the deposit or provides other guarantees, please issue the certificate to the issuing bank.

2. According to the content of the application, the issuing bank shall issue a letter of credit to the beneficiary and send it to the advising bank where the exporter is located.

3. Notify the bank to check that the seal is correct, and then hand over the letter of credit to the beneficiary.

4. After the beneficiary reviews the content of the letter of credit and shakes hands in accordance with the provisions of the contract, he shall ship the goods, prepare the documents and issue a bill of exchange according to the provisions of the letter of credit, and send it to the negotiating bank for negotiation within the validity period of the letter of credit.

5. After the negotiating bank examines the documents according to the terms of the L/C, it advances the payment to the beneficiary.

6. The negotiating bank will send the bill of exchange and shipping documents to the issuing bank or its specific paying bank for compensation.

7. After checking the documents, the issuing bank shall pay to the negotiating bank.

8. The issuing bank notifies the issuer to pay the redemption order.