L/C (Letter Of Credit)

L/C (Letter of Credit)

L / C is an instrument issued by a bank on behalf of one of their clients, which empowers a person or a company receiving such instruments draw drafts on the bank concerned or on one of correspondent banks for the interest, according to the conditions / requirements specified in the instrument.
The function of L / C as follows:

It is an agreement of banks in resolving international commercialtransactions.
Provide security for the parties involved in the transaction are held.
Ensuring the payment provided that the requirements of L / C are met.
An instrument that is based only on documents and not on commodities or services.
Helping issuing bank provide financing facilities to the importers and monitoring usage.

L / C (LETTER OF CREDIT) Import
Terms - conditions:

Having Giro in Bank Jatim
Guarantee deposits 100% of the nominal issuer L / C.
API-licensed (Import identification number), APIT (limited importsidentification number).

Other costs:

Opening of L / C = 1/8% X Nominal minimum $ 50,00 with the following notes:

Defined KMPK for issuance of L / C Import.
Defined by KMPK Credit Equivalent dollars

Changes in L / C

With the change in nominal = 1/8% X Nominal changes Minimum $ 50,00
Without a change in nominal = USD 25,00

Cancellation L / C = USD 5,00 + Bank Charges Koresp. + Cost of Telex.
Warranty expenditures / Shipping guarante = USD 10,00

L / C (LETTER OF CREDIT) Export Terms - conditions:

Having Giro in Bank Jatim
Receiving L / C from Overseas Bank.
Can export documents in negotiations or do billing on collection according to applicable regulations.

Other costs: