Letters of Credit - Guaranteeing payment for goods exported overseas
A Letter of Credit guarantees payment for goods exported overseas, provided you meet all of its conditions. When you export your product or service overseas, your buyer’s bank will open a Letter of Credit. This will contain details of the strict terms and conditions you need to adhere to in order for the bank to release payment. If your company meets all of the stated conditions, payment is guaranteed.
Who uses Letters of Credit?
Exporting companies of all sizes frequently use Letters of Credit.
What does the service provide?
The Suffolk Chamber of Commerce provides, via our partnership with Wallis Shipping Services, a comprehensive and cost effective Letters of Credit Service and has an excellent reputation with all the banks involved with Letters of Credit.
Through our Letters of Credit service we can:
- Check your Letter of Credit conditions to ensure you meet them
- Inform you of any amendments within two working days
- Prepare all the relevant documents
- Liaise with shippers
- Check bills of lading
- Present all documentation to the bank on your company’s behalf.
How will my company benefit from this service?
National figures reveal that 75% of Letters of Credit are rejected on first presentation, and over 50% on second presentation. We have a reputation for getting it right first time. 95% of the Letter of Credit presentations we make, which have been checked and prepared by us, are accepted first time. 100% are accepted on second presentation.
For you this means several benefits:
- You save time and money
- You can secure payment for goods exported
- You avoid bad debts
- You enhance your reputation for efficiency and reliability
- You increase your profitability.
Remember, if you are a member of Suffolk Chamber, you can benefit from this service at a discounted rate. If you’d like to know more about our Letter of Credit service, please contact our Export Team at Suffolk Chamber.
Tel: 01473 694839
Fax: 01473 603 888