Letter of Credit: parties, types, critical dates

(VAT excluded, card and bank transfer accepted)

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Overview

A Letter of Credit (LC) is a letter from a bank that guarantees that payment from the buyer (importer) to the seller (exporter) will be received on time and in the correct amount, provided certain stipulated criteria are met.

For whom the knowledge is relevant?

Exporters and importers in many countries around the world. LCs are used:

  • When the buyer and seller do not know each other or 
  • When they know each other but the seller wants an additional guarantee of payment. 

What will you learn?

You will learn answers to the following questions:

  • Who are the parties to a LC?
  • What types of LCs can you choose from?
  • What are the critical dates not to be missed?

Who shares the knowledge?

Vera Murphy, Managing Director of Bevan Murphy Customs Ltd, Ireland. Vera has decades of deep functional expertise in Global Forwarding and International Trade having held senior positions in two of the top ten global forwarders in the world.

Various problems can arise when using LCs, such as no payment for the supplied goods if a critical date is missed.

Vera Murphy

 

About

Letter of Credit Masterclass course. ~ 60% of LCs are rejected when they are first submitted for payment. It then takes a while for the necessary corrections to be made, and meanwhile the payment is not released to the seller. This course helps business structure their internal process to circumvent issues and control the process from the outset.

🔗 Bevan Murphy Customs Ltd. We are an International Trade training and consultancy company providing support to Global Forwarders, Customs Brokers, Industry and Government Agencies.
🔗 CustomsClear: Your Trade and Customs Knowledge go-to-place. We connect knowledge seekers with experts from the industry. And ensure that you stay on top of compliance-relevant news. Check out the latest articles, videos, courses and choose the best subscription plan to continuously grow your greatest asset - knowledge.
  • Publication date: March 07, 2023
  • Unlock duration: 2 months
  • Prepared by: Vera Murphy
  • Video duration: 00:07:12
  • Languages: English
  • Level: Basic
  • Type: Video
  • Topic: trade topics
  • Tag: finance
  • Market: Global

Resources are available after purchase.

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