Letter of Credit

[kennysjq]

hi there, is anyone familiar with L/Cs? i am looking to safeguard myself from my supplier. although i have dealt with him previously, this time its a much larger order and I only want payment to go through after I have acknowledge the receipt of the goods. so far L/Cs seem like the best way to go but I have absolutely no idea on how it works.

if anyone has a lobang for a good and trustable escrow service please get in touch with me!

many thanks

[annies.Knicknack]

Hi, you can check with the bank on this. it's safer to get bank to bank as a garantee. there r diff type of L/C i.e L/C at sight, that's when your goods arrive & you go to yr bank to get the shipping docs . The bank will then make the payment to your supplier.

Another kind is L/C after sight. If your supplier allows.Norm, they will put ie 30days or 60day or even 120days. this means your supplier will only get the payment after rcpt of goods 30/60/120days.

Well this is a rough guide. many more to say on this. So if you can ck with yr bank.

hopes it helps alittle.

[FASHRUS]

just go to the bank and tell them your issue.. they will best guide you.. as said here there are few types of LCs.. its best checked with your bank..

[kennysjq]

okay i will contact my bank, thanks !

[Cocoon]

most important, now most factories do not accept LC unless your amount is more than 10K. So no point asking if they are not agree

[shadessettokill]

Originally Posted by batman1117

most important, now most factories do not accept LC unless your amount is more than 10K. So no point asking if they are not agree

Which is cheapest mode of payment
Letter of credit or Telegraphic Transfer?
Need to register for company before making payments as above? Thanks!