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  • Teacher: Th.S Nông Thị Như Mai

  • CHAPTER 1: RATIONALE OF DOCUMENTARY CREDIT

  • 1. Documentary Credit:

  • 2. Commercial documents in documentary credit method:

  • 3. Irrevocable Letter of Credit

  • 1. Overview of HN CO., LTD:

  • 2. Analysing documents used in Documentary Credit of HN Co., LTD:

  • Field 40A: FORM OF DOCUMENTARY CREDIT

  • Field 20: DOCUMENTARY CREDIT NUMBER

  • Field 31C: DATE OF ISSUE

  • Field 50: APPLICANT

  • Field 59: BEN ACCOUNT

  • Field 32B: CURRENCY CODE & AMOUNT

  • Field 39A: PERCENTAGE CREDIT AMOUNT TOLERANCE

  • Field 41D: AVAIL . CUST . DESC

  • Field 42C: DRAFT AT…

  • Field 42D: DRAWEE

  • Field 43P: PARTIAL SHIPMENT

  • Field 43T: TRANSHIPMENT

  • Field 44E: LOADING ON BOARD/ DISPATCH/ TAKING IN CHARGE AT/ FROM…

  • Field 44F: FOR TRANSPORTATION TO…

  • Field 44C: LATEST DATE OF SHIPMENT

  • Field 45A: DESCRIPTON OF GOODS AND/OR SERVICES

  • Field 46A: Documents Required:

  • Field 47A: ADDITIONAL CONDITIONS

  • Field 71B: CHARGES

  • 3. Risks happen when HN CO., LTD use documentary credit method:

  • 1. Theoretical basis of the solution:

  • 2. Some main risks in the credit payment method:

  • 3. Solution For Errors In The Ordinary And Credit

  • Table of Contents

Nội dung

Document credit is an International trade procedure in which the credit worthiness of an importer is substituted by the guaranty of a bank for a specific transaction. Under documentary credit arrangement (also called letter of credit arrangement) an issuing bank (usually in the importer’s or buyer’s country) undertakes to pay for a shipment, provided the exporter (beneficiary) submits the required documents. These documents almost always include a clean bill of lading or air waybill, certificate of insurance, certificate of origin commercial invoice, and certificate of origin. To establish a letter of credit in favor of the seller or exporter (called the beneficiary) the buyer (called the applicant or account party) either pays the specified sum (plus service charges) up front to the issuing bank, or negotiates credit within a specified period. In the US this arrangement is called “commercial letter of credit.”

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