Letter of Credit
 

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 ;)

Re: Letter of Credit
 

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.

Re: Letter of Credit
 

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

Re: Letter of Credit
 

okay i will contact my bank, thanks !

Re: Letter of Credit
 

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

Re: Letter of Credit
 

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

Re: Letter of Credit
 

def tt. lcs document fees can be very high... tt dun need coy. I've only ever sent lcs on the coy's behalf, so dunno if you can do it personal.

Re: Letter of Credit
 

Ok, will go for tt then. Thanks!:thanx: