Inward (Import) Collection Bills
This payment method gives you flexibility at the negotiation table as you agree on the payment terms directly with your supplier. Bank will then work closely with your supplier's bank and acts as your representative in the transaction. In addition, by financing your purchase through a Trust Receipt, you may enjoy an extended period before paying for the imported goods, ensuring:
1. Uncomplicated and inexpensive transactions
2. Pro-buyer situation as you defer the payment until the goods arrive - or even later if delayed payment arrangements are agreed upon
Under import collection, documents can be made available to the buyer on:
Documents against Payment (DP), whereby the presenting bank will only release the documents to the buyer upon payment.
Documents against Acceptance (DA), whereby the presenting bank will only release the documents to the buyer upon his acceptance of the seller's bills of exchange for deferred payment. For DA bills, the bank will present the bills of exchange to the buyer.
Letter of Credit