What conditions does the exporter need to open a L/C？

       Letters of credit are divided into clean letters of credit and documentary letters of credit。Documentary credit means a credit attached to the specified documents, and a credit without any documents is called a clean credit。To put it simply, a letter of credit is a document guaranteeing that the exporter can get his money back。

 

       In the process of overseas trade，Because the two countries are different, the policies are different，There is a great deal of mutual distrust，But to make the deal happen，同时，Avoid buyer worry after prepayment，The buyer did not deliver the goods as required by the contract，The seller is concerned about a series of issues such as non-payment by the buyer after delivery or submission of shipping documents，Both parties will find banks to act as guarantors in the transaction，Presentation on behalf of collection。
 

 

       Exporters to issue a letter of credit, refers to the bank after receiving the letter of credit, to notify the beneficiary, and according to the letter of credit to provide comprehensive services to exporters, it sets documents review, remittance in one。

 

       Application object:

 

       Generally, it is an enterprise with the right to import and export

       

       Business advantage:

 

       The premise of ensuring the issuing bank's fulfillment of the payment commitment is that the documents submitted meet the requirements of the terms of the credit。

 

       Cargo rights control:

 

       Before payment or acceptance, the importer cannot redeem the bill and take delivery of the goods, which helps to avoid the shortage of funds for exporters and facilitate financing。

 

       Export enterprises can apply to banks for trade financing under export letters of credit at different stages to reduce capital occupation and enable export enterprises to use funds more reasonably and effectively。