Business bankingDocumentary operationsLetter of credit

Letter of credit

For your safe and secure international payments

Letter of credit

The letter of credit is a generally accepted method of payment for foreign trade operations, as well as a faster and safer form of payments applied in many countries of the world. The use of documentary credit eliminates the need for prepayment. This form of payment provides high-level interests of both the seller and the buyer of goods and services.

Advantages for the importing (procuring) party

It is guaranteed that the payment will be made only after the seller has fully complied with its obligations under the terms of the contract
It is possible to achieve a postponement of payment for goods and services without the use of liquid funds
You can be assured of delivery of the goods at the set time according to the time frame of the open letter of credit
You can be sure of a thorough check of all documents

Advantages for exporting (selling) side

Prevent the risks associated with the buyer's evasion or bankruptcy-in the case of providing the bank with the relevant documents under the letter of credit, you can be sure that the payment will be made by the bank in the near future

AccessBank offers the following types of letter of credit:

Direct letter of credit
The approved letter of credit
"Stand-by" letter of credit

Tariffs

Operation	Price
Commission for opening a letter of credit	0.2% (min. 50)
Letter of credit extension	0.2% (min. 50)
Notice of letter of credit	0.1% (min. 50 max. 500)
Acceptance and verification of documents submitted under a letter of credit	0.1% (min. 50 max. 500)
Payment by letter of credit	0.1% (min. 50 max. 500)
Fee for the transfer of a transferable letter of credit	+ Correspondent bank commission according to transfer tariffs
Cancellation of a letter of credit	0.2% (min. 50)
Changing the terms of a letter of credit	50
Free return of documents under a letter of credit	50
Applying for a letter of credit opened by other banks	50
Post services	Real prices