Letter of Credit (LC) is an instrument issued by a bank (Issuing Bank), as requested by Applicant, containing the bank�s undertaking to pay a sum of money to you, as Beneficiary provided they have received documents in compliance with LC terms.
In an export transaction with LC, there is a grace period between document presentation and the payment from the Issuing Bank. Bill Purchasing is a short term post export financing after shipment of goods which enables you improve your Cash Flow while awaiting payment from Issuing Bank.
This bill purchasing can be both for Sight LC or Usance /deferred payment, with recourse. For this transaction, we will set up a Trade Line for you.
We can credit your account on the same date as the document presentation, provided a complying presentation before 12:00 noon.
- Assist you in seizing your business opportunities while improving your cash flow.
- Increase your competitiveness in your counter party�s eyes by offering them a deferred payment without disrupting your Cash Flow.
- Mitigate the possibility of non-payment by Issuing Bank due to discrepancy, with our Document Preparation service.
Pre-Export Financing is a short term financing before shipment of goods under an LC. You can use this financing for raw materials procuring, goods manufacturing or for goods obtaining.
Bank Mandiri shall provide a revolving line that you can use to attain your export transaction, by submitting your original DC that conforms with the latest version of Uniform Customs and Practices for Documentary Credit (UCP). The maximum financing is 80% of the DC value.
- Fulfilling your export transaction without disrupting your Cash Flow.
- Facilitating your transaction with prime interest rate to minimize your costs
For further information regarding our products, please contact Call Mandiri at 14000. Or click here to contact our Institutional Banking office