D-1-1-1- Le déroulement d'une transaction avec paiement par lettre de crédit Standby


Payment processing is one of the main preoccupations of companies with international transactions. Doing business is important, but compensation is essential. Esandis offers you free training space dedicated to international transactions, and all the skills you need to become an export or import manager. Our objective is to provide you an understanding of the importance of the payment component of an international transaction.

1-1-1-1- Standby letter of credit: definition

A payment solution: the standby letter of credit is a proven solution that is seldom used, but more prevalent than the documentary credit.


1-1-1-2- Standby letter of credit procedure



Exporter

Exporter's bank (the advising bank)

Importer's bank (the issuing bank)

Importer
       
 

Exporter

  

1- Contract + instruction (standby letter of credit)
     

 

  

Importer
     
2-Opening or issuing request
   
3-Exporter's bank notification

 

Importer's bank

    
   

Exporter's bank

        
 

Exporter

  
4-Standby letter of credit notification
       

Importer
      5-Goods and transport documents  
 

 

  

 
  6-Nonpayment      
 

     
         
 

7-Nonpayment notification

     
   

Exporter's bank

      
           
    8-Payment        

Exporter

            
   

9-Payment

  

Importer's bank

    
   

       
   

Exporter's bank

        
       

 

    
       

Importer's bank

   10-Reimbursement request
           
           

Importer