I. Introduction This is a payment guarantee issued to your exporter for deferred or time payment of the goods, and corresponding interest. ICBC undertakes to pay your exporter in the event you are unable to pay the principal and interest as scheduled in the contract.
II. Features Comparing to payment guarantee, this service can delay payment and increase the payment frequency.
III. Target Client Once the contract your company signed with the exporter enters into force.
IV. Operation Guide Submit the following to ICBC: 1. Application Form stamped with official seal. 2. Trade Contract. 3. Sign Guarantee Opening Agreement with ICBC. 4. Photocopy of Business License for companies that apply for ICBC Letter of Guarantee for the first time.
V. Application Conditions 1. Your company must be rated by ICBC with an approved credit line. 2. You must pay a percentage of margins as ICBC stipulates. 3. It is recommended that your trade is made through ICBC to facilitate communication with exporter or exporter's bank. 4. To assit you lock down the exchange risk, ICBC offers services in settlement and F/X trading in the currency you trade.