Inland Letter of Credit (LC)
Inland Letter of Credit (LC)
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Enabling you to purchase goods & services quickly by negotiating viable terms with domestic suppliers.
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Expert advice from our experienced team to protect your interest.
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Tailored solutions just to suit your needs & competitive pricing.
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The buyer & seller enter into a contract & agree that payment will be made basis Letter of Credit (LC).
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The buyer approaches the issuing Bank to issue LC in favour of seller.
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Issuing Bank issues LC which is advised through its branch or correspondent bank (advising bank).
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The advising bank advises LC to the seller.
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Upon receipt of LC, the seller prepares shipment & delivers documents to the presenting bank (which could also be your advising bank).
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The presenting bank dispatches documents to Issuing Bank for payment.
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Issuing Bank pays the presenting bank upon verifying that the documents are in order as per terms and conditions of the LC.
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Upon receipt of payment, the presenting bank pays the seller.
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Issuing Bank forwards the documents to the buyer, who can now use them to obtain the goods.
T&C apply
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