LETTER OF CREDIT
Letter of credit (LC) is a buyer's bank undertaking to effect payment in favor of a seller if it has fulfilled the letter of credit terms and conditions.
This is the most secured and commonly used instrument in international trade finance. In order to standardize and unify the requirements and conditions of letters of credit the International Chamber of Commerce (ICC) has issued its Uniform Customs and Practice for Documentary Credits well known as "UCP600". Practically all banks of the world follow UCP600 which means that it does not depend on what country your partner is from, you will have the same approach and definitions in your trade transaction.
1. Documentary Collections Types
- Import Letter of Credit
- Export Letter of Credit Advising
- Confirmed Letter of Credit
- Transferrable Letter of Credit
- Standby Letter of Credit
- Back to back Letter of Credit
- Discount on LC Acceptance
- Shipping Guarantee
2. Pricing
1 Import Letter of Credit
No |
Description |
Fee Charge |
1 | Issuance | 0.125% p.m., min. USD50.00 Plus cable fee USD50.00 |
2 | Amendment | Amount and Expiry Date: 0.125%, min. USD40 plus cable USD30.00 |
all other: USD30.00 flat plus cable USD30.00 | ||
3 | Cancellation | USD50 plus cable USD30.00 |
4 |
Acceptance (Usance Bill)
|
0.10% p.m, min. USD50 plus cable USD30.00 |
5 |
Settlement | 0.15% min. USD25.00 plus cable USD15.00 |
6 | Reimbursement | USD40.00 (from Beneficiary) |
7 | Discrepancies | USD50.00 plus cable USD30.00 (from Beneficiary) |
2. Export Letter of Credit
No | Description | Fee Charge |
1 | Advising Charge | USD30.00 |
2 | Confirmation charge | 0.125% p.m., min. USD50 plus cable USD30.00 |
4 | Acceptance (Usance Bill) | all other: USD30 flat plus cable USD30.00 |
3 | Discrepancies | 0.12% p.m, min. USD50.00 plus cable USD30.00 |
4 |
Documents examination/ Negotiation | 0.15% min. USD50.00 |
5 |
Transfer | 0.125% min. USD50.00 plus cable USD30.00 |
3. Form
Should you have questions or need any advice, please contact SBI LY HOUR BANK PLC ,
please call at 023 980 888, 023 999 368. +855 23 980 888, ០២៣ ៩៩៩ ៣៦៨ .
Email [email protected],,