Chapter 10 International Payment In This Chapter：  Payment Instruments 支付工具  Payment Methods 支付方式

Instrument of payment 支付工具 1.Currency 货币 depreciate & appreciate 10.3 Credit Instruments Instrument of payment 支付工具 1.Currency 货币 depreciate & appreciate 2.Bill 票据

Bill 票据 Bill of Exchange 汇票 Promissory Note 本票 Cheque or Check 支票 10.3 Credit Instruments Bill 票据 Bill of Exchange 汇票 Promissory Note 本票 Cheque or Check 支票

Bill of Exchange (Draft) 汇票 10.3 Credit Instruments Bill of Exchange (Draft) 汇票 Is an unconditional order in writing, addressed by one person (drawer) to another (drawee), signed by the person giving it, requiring the person to whom it is addressed (drawee or payer) to pay on demand, or at a fixed or determinable further time, a sum certain in money to, or to the order of, a specified person, or to any bearer (payee).

Instrument of payment 支付工具 Bill of Exchange (Draft) 汇票 是由一个人向另一个人签发的，要求对方（接受命令的人）即期或定期或在可以确定的将来时间，向某人或其指定的人或持票人支付一定金额的无条件的书面支付命令。

Bill of Exchange (Draft) 汇票 Parties to a Bill of Exchange Drawer 出票人: the person who draws the bill Exporter or his bank Drawee or payer 受票人或付款人 : the person who is to pay the money Importer or the appointed bank under L/C Payee 收款人: the person who is to receive the money Drawer, exporter or his appointed bank, bearer of the bill

Bill of Exchange (Draft) 汇票 Basic Contents of A Draft 汇票的内容 Indicate: bill of exchange 表明“汇票”的字样 An unconditional order in writing 无条件支付的委托 A sum certain in money 确定的金额 The name of drawee or payer 付款人名称 The name of Payee 收款人名称 Date of the bill of exchange drawn 出票日期 Signature of the drawer 出票人签章

Samples of bills 汇票 BILL OF EXCHANGE No. 汇票编号 Date: 出票日期 For: 汇票金额（小写） At 付款期限 sight of this first of exchange (second of the same tenor and date unpaid) pay to the order of 受款人 the sum of 汇票金额（大写） To. 付款人 出票人签章

Samples of bills No: 123/67 Exchange for $ 8000 Guangdong, China, 5th March, 2006 At 60 days sight of this First of exchange (the SECOND of the same and date being unpaid) pay to or to the order of Guangzhou ABC Import and Export Corporation the sum of USD eight thousand only. To: ABC Import and Export Co. Ltd 23 Washington Street New York, USA Guangzhou ABC Import and Export Corporation Manager(Signed)

Bill of Exchange (Draft) 汇票 Commercial bill and banker’s bill Commercial bill (商业汇票): the drawer is a commercial firm Banker’s bill (银行汇票): the drawer is a bank

Classification of Bills of Exchange Clean bill and documentary bill Clean bill (光票): when no shipping documents are accompanied with it. 银行汇票多是光票 Documentary bill (跟单汇票): which is accompanied with shipping documents 跟单汇票多是商业汇票Such as: B/L, Commercial Invoice, Packing List, Insurance Policy, Inspection Certificate etc.

Classification of Bills of Exchange Sight (demand) bill and time (usance) bill Sight (demand) bill (即期汇票): the draft is payable at sight on presentation. 指持票人向付款人提示后对方立即付款，又称见票即付汇票 Time (usance) bill (远期汇票): the drawee is required to pay the bill at a later date. 是在出票一定期限后或特定日期付款

Classification of Bills of Exchange Time (Usance) Bill 远期汇票 payable certain days after sight 见票后若干天付款 payable certain days after the date of draft 出票后若干天付款 payable certain days after the date of B/L 提单签发日后若干天付款 payable certain days after the fixed date 固定日期后若干天付款 payable certain days after the date of arrival of goods

Classification of Bills of Exchange Commercial Acceptance Bill and Banker’s Acceptance Bill Commercial acceptance bill (商业承兑汇票): in time commercial bills, when the drawer is a commercial firm and the drawee is another commercial firm, the bill after acceptance by the drawee Banker’s acceptance bill (银行承兑汇票): when the drawer is a commercial firm or a bank and the drawee is a bank, the bill after acceptance by the bank

Classification of Bills of Exchange Commercial Acceptance Bill and Banker’s Acceptance Bill 商业承兑汇票(Commercial acceptance bill): 远期的商业汇票，经企业或个人承兑后，称为商业承兑汇票。 银行承兑汇票(Banker’s acceptance bill): 远期的商业汇票，经银行承兑后，称为银行承兑汇票。 银行承兑后成为该汇票的主债务人，所以银行承兑汇票是一种银行信用。

Bill of Exchange (Draft) 汇票 General Procedures in Handling A Bill of Exchange (Draft) Drawing 出票 Presentation 提示 Acceptance 承兑 Payment 付款 Endorsement 背书 Protesting 拒付

General Procedures in Handling A Bill of Exchange (Draft) Drawing （Issue）出票 Means the act of the drawer in filling up the bill of exchange with particulars as to the name of the drawee, the amount payable, the date of payment and name of payee, and after signature, the drawer may present the bill to the drawee through the medium of the payee or a banker. 　 出票是指出票人在汇票上填写付款人、付款金额、付款日期和地点以及受款人等项目，经签字交给受票人的行为.

Drawing （Issue）出票 Three ways to stipulate the payee Restrictive payee 限制性抬头 To order 指示性抬头 To bearer 持票人或来人抬头

Drawing （Issue）出票 Restrictive payee 限制性抬头 Such as “pay ABC Co. Ltd. only” or “pay ABC Co. Ltd., not negotiable” (不准流通) Can not be negotiated or transferred to another party. (不能流通转让)

Drawing （Issue）出票 To order 指示性抬头 Such as “pay ABC Co. Ltd. or Order” or “pay to the order of ABC Co. Ltd.” Can be negotiated or transferred to another party after endorsement by the payee or the amount may be collected by the payee himself.

Drawing （Issue）出票 To bearer 持票人或来人抬头 Such as “pay to bearer” or “pay to ABC Co. Ltd. or bearer” Does not need the endorsement by another party and can be negotiated or transferred merely by delivery. 无须由持票人背书，仅凭交付汇票即可转让。

General Procedures in Handling A Bill of Exchange (Draft) Presentation 提示 Refers to the act of the holder of the bill of exchange presenting the bill to the drawee, asking the latter either to pay or to accept the bill. The drawee’s receiving or seeing the bill is called “sight”.　付款人看到汇票叫“见票”。 提示是持票人将汇票提交付款人要求承兑或付款的行为，

General Procedures in Handling A Bill of Exchange (Draft) Acceptance 承兑 Means the act of the drawee to show his responsibility by accepting the usance bill for payment at a fixed future date by writing the word “accepted”, marking the date of acceptance and signing on the face of the bill. The drawee “the Acceptor” “承兑人” 承兑是指付款人对远期汇票表示承担到期付款责任的行为。付款人在汇票上写明“承兑”字样，注明承兑日期，并由付款人签字，交还持票人。

General Procedures in Handling A Bill of Exchange (Draft) Payment 付款 Means the act of the drawee or the acceptor to pay the amount of the bill of exchange to the holder of the bill. The holder of the bill must present the bill of exchange. 是指付款人或承兑人向持票人清偿汇票金额的行为。

General Procedures in Handling A Bill of Exchange (Draft) Endorsement 背书 In the case of a “to order” bill of exchange, endorsement is needed in the procedure of negotiation or transfer by the payee by signing his name on the back of the bill Blank endorsement 空白背书 – bear or holder Full endorsement 记名背书 – transferee, endorsee 受让人（被背书人) 背书是转让汇票权利的一种手续，就是由汇标抬头人在汇票背面签上自己的名字，或再加上受让人（被背书人）的名字，并把汇票交给受让人的行为。

Endorsement 背书 Discount 贴现 The bank or discount company concerned may “discount” the bill by paying immediate cash for the bill at a little less than its face amount, i.e., after deducting charges and interest based on the current rate of discount, and then, will in the due date of the bill collect the full amount from the acceptor. 在金融市场上，最常见的背书转让为汇票的贴现，即远期汇票经承兑后，尚未到期，持票人背书后，由银行或贴现公司作为受让人。从票面金额中扣减按贴现率结算的贴息后，将余款付给持票人。

General Procedures in Handling A Bill of Exchange (Draft) Protesting 拒付 When a bill has been duly presented for acceptance or payment and the acceptance or payment has been refused, the bill is said to be dishonoured. 持票人向付款人提示汇票要求承兑或付款时，付款人拒绝承兑或拒绝付款，均称拒付。

General Procedures in Handling A Bill of Exchange (Draft) Protesting 拒付 The holder has an immediate right to take action against all parties to the bill --- the right of recourse (追索权 ). The holder must give a formal notice of dishonour (发出拒付通知) to all the parties he wishes to make liable. The holder should apply for a letter of protest (拒绝证书) from the notary public.

Bill 票据 Promissory Note 本票 Is an unconditional promise in writing made by one person to another signed by the maker, engaging to pay, on demand or at a fixed or determinable future time, a sum certain in money to, or to a order of, a specified person or to a bearer. 一个人向另一个人签发的，保证于见票时或定期或在可以确定的将来的时间，对某人或其指定的人或持票人支付一定金额的无条件的书面承诺.

Bill 票据 Kinds of Promissory Note Commercial promissory note 商业本票 Sight or Time No “Acceptance” Banker’s promissory note 银行本票 Sight

Bill 票据 Cheque (Check) 支票 Is an unconditional order in writing drawn on a banker signed by drawer, requiring the banker to pay on demand a sum certain in money to, or to the order of specified person or to a bearer. “A bill of exchange drawn on a bank payable on demand.” 以银行为付款人的即期汇票，即存款人对银行的无条件支付一定金额的委托或命令。出票人在支票上签发一定的金额，要求受票的银行于见票时立即支付一定金额给特定人或持票人。

Bill 票据 Cheque (Check) 支票 Rubber check 空头支票(橡皮支票): A check returned by a bank because of insufficient funds in the account on which it is drawn. Crossed cheque (划线支票): when two parallel lines are drawn across it.

汇票、本票和支票的区别 性质 当事人 付款时间 汇票 本票 支票 无条件的书 面支付命令 出票人/付 款人/受款人 分远期/即期 远期需承兑 A 性质 当事人 付款时间 汇票 Bill of Exchange or Draft 无条件的书 面支付命令 出票人/付 款人/受款人 分远期/即期 远期需承兑 本票 Promissory Note 无条件的书 面支付承诺 出票人/ 受款人 分远期/即期 远期不承兑 支票 Cheque or Check 无条件的书 面支付命令 出票人/付 款人/受款人 只有即期 没有远期

Modes of Payment Main Modes of Payment: Remittance 汇付 Collection 托收 Letter of Credit 信用证 Letter of Guarantee 保函

Modes of Payment Remittance 汇付(又称汇款) Means that the buyer remits money to the seller through a bank on his own initiative. 是指付款人主动通过银行或其他途径，将货款汇交收款人。

Remittance 汇付(又称汇款) Parties in Remittance Remitter (汇款人): usu. importer Payee or Beneficiary (收款人) : usu. exporter Remitting Bank (汇出行): usu. importer’s bank Paying Bank (汇入行): usu. exporter’s bank

Remittance 汇付(又称汇款) Kinds of Remittance Mail Transfer (M/T) 信汇 Telegraphic Transfer (T/T) 电汇 Demand Draft (D/D) 票汇

Remittance 汇付(又称汇款) Mail Transfer (M/T) 信汇 The buyer gives money to a local bank which sends a trust deed (信托书) for payment to its correspondent bank at the seller’s end by mail and entrusts it with the task to pay money to the seller. 汇出行应汇款人的申请，将信汇委托书寄给汇入行，授权解付一定金额给收款人。

Remittance 汇付(又称汇款) Telegraphic Transfer (T/T) 电汇 At the request of the buyer, a local bank sends a trust deed (信托书) for payment by cable directly to its correspondent bank at the seller’s end and entrusts the work to it to pay money to the seller. 汇出行应汇款人的申请，拍发加押电报或电传给在另一国家的分行或代理行（汇入行），指示它解付一定金额给收款人。

Remittance 汇付(又称汇款) Demand Draft (D/D) （Remittance by Banker’s Demand Draft）票汇 The buyer buys a draft from a local bank and sends it by mail to the seller, the seller or his appointed person can collect money from the relative bank at his end against the draft sent by the buyer. 票汇是以银行即期汇票为支付工具的一种汇付方式。由汇出行应汇款人的申请，开立以其代理行或账户行为付款人，列明汇款人所指定的收款人名称的银行即期汇票，交由汇款人自行寄给收款人。由收款人凭票向汇票上的付款人（银行）取款。

Remittance 汇付(又称汇款) Use of Remittance Payment in Advance 预付货款 Cash with Order (C.W.O.) 定货付现 Cash on Delivery (C. O. D.)交货付现,货到付款 Open Account Trade 记帐交易

Process of Remittance—— under T/T，M/T 汇付流程说明 收款人 Exporter Paying Bank ④汇款通知 ⑤ 收据 A ⑥付款 ③ 电 汇 款 通 知 ⑦ 付 讫 借 记 合 同 汇款人 Importer ①电汇申请书 Remitting Bank ② 回单

Modes of Payment Collection 托收 The exporter draws a bill and asks his bank to arrange for the acceptance or payment of the bill overseas, and the bank will carry his task through its own branch office abroad or a correspondent bank. This procedure is termed as collection of proceeds of sales. 托收是指债权人（出口人）出具汇票, 委托银行向债务人（进口人）收取货款的一种支付方式。

Collection 托收 Parties in Collection The principal 委托人 The remitting bank 托收行 The collecting bank 代收行 The payer or Drawee 付款人

Workflow of Collection 1.Delivery Drawee (Importer) Principal (Exporter) 2. B/L 3. Doc.&Bill 8. Funds 5. Presentation 6. D/P or D/A Remitting Bank Collecting Bank 4. Doc.&Bill 7. Funds

Collection 托收 Kinds of Collection 1. Collection on clean bill 光票托收 2. Collection on documentary bill 跟单托收

Kinds of Collection Collection on Clean Bill 光票托收 Means that the exporter collects the purchase price against the draft only, without any shipping documents attached thereto. Used in collecting balance (余额) under L/C, advance, commission and costs of samples.

Kinds of Collection Collection on Documentary Bill 跟单托收 Means that the exporter collects the purchase price against the documentary bill. ① Documents against payment (D/P) 付款交单 ② Documents against acceptance (D/A) 承兑交单

Documentary Collection 跟单托收 Documents Against Payment (D/P) 付款交单 Calls for actual payment against the transfer of shipping documents. D/P at sight D/P after sight

Documents Against Payment D/P at sight 即期付款交单 After shipment of the goods, the exporter shall draw a sight bill of exchange, and send it as well as shipping documents to a local bank, through which and whose correspondent bank the documentary draft is presented to the importer. The importer shall pay against the documentary draft drawn by the seller at sight. 出口方按合同规定日期发货后，开具即期汇票, 连同全套货运单据，委托银行向进口方提示，进口方见票（和单据）后立即付款。银行在其付清货款后交出货运单据。

Process of D/P at Sight Exporter Importer ① ② ⑧ ④ Remitting Bank ③ ⑤ Payment ②  Documents ⑧ ④ Remitting Bank ③ Collecting Bank ⑦

Documents Against Payment D/P after sight 远期付款交单 After shipment of the goods, the exporter shall draw a usance bill of exchange, and send it as well as shipping documents to a local bank, through which and whose correspondent bank the documentary draft is presented to the importer. The importer shall accept the usance draft, and make payment on the due date of the usance bill. 出口方按合同规定日期发货后，开具远期汇票连同全套货运单据，委托银行向进口人提示，进口方审单无误后在汇票上承兑，于汇票到期日付清货款，然后从银行处取得货运单据。

Process of D/P after Sight Exporter Importer ① A ② ⑤ ⑧ ④  Remitting Bank ③ Collecting Bank ⑦

D/P after sight 远期付款交单 Trust Receipts (T/R) 信托收据 Is a written guaranty provided by the importer to the collecting bank for the purpose of borrowing B/L from the latter, in which the importer declares that he will take delivery of the goods, declare to the customs, store the goods, take out insurance on and push sales of the goods as the consignee of the collecting bank,代收银行的受托人 and acknowledge the title to the goods and proceeds of the sale belonging to the collecting bank and will guarantee to make payment on the date due.

Trust Receipts (T/R) 信托收据 D/P after sight 远期付款交单 Trust Receipts (T/R) 信托收据 所谓信托收据，是进口方借单时提供的一种书面信用担保文件，表示愿意以银行受托人身份代为提货、报关、存仓、保险、出售，并承认货物所有权仍归银行。货物售出后所得货款应于汇票到期时交银行。

D/P after sight 远期付款交单 “D／P， T／R” (付款交单，凭信托收据借单) 指出口人指示代收行借单，主动授权银行凭信托收据借单给进口人，那么进口人在承兑汇票后可以凭信托收据先行借单提货。 这种托收方式的性质与承兑交单差不多。如果进口人在汇票到期时拒付，则与银行无关，应由出口人自己承担风险。

Documentary Collection 跟单托收 Documents Against Acceptance (D/A) 承兑交单 Calls for delivery of documents against acceptance of the draft drawn by the exporter. D/A is always after sight

Process of D/A Exporter Importer ① ② ⑧ ④ Remitting Bank ③ Collecting ⑤ Acceptance ② ⑧ ④  Documents Remitting Bank ③ Collecting Bank ⑦

Case Study 我某外贸公司与某国A商达成一项出口合同，付款条件为D/P 45天付款。当汇票及所附单据通过托收行寄抵进口地代收行后，A商及时在汇票上履行了承兑手续。货抵目的港时，由于用货心切，A商出具信托收据（T/R）向代收行借得单据，先行提货转售。汇票到期时，A商因经营不善，失去偿付能力。代收行以汇票付款人拒付为由通知托收行，并建议由我外贸公司直接向A商索取货款。对此，你认为我外贸企业应如何处理？

Modes of Payment Letter of Credit the expressions "Documentary Credit (s)" and "Standby Letter(s) of Credit" (hereinafter  referred to as "Credit (s) "), mean any  arrangement, however named or described,  whereby a bank(the "Issuing Bank") acting at  the  request and on the instructions of a  customer  (the  "Applicant") or on its own  behalf, 

Modes of Payment Letter of Credit  i) is to make a payment to or to the order of a third party(the "Beneficiary"), or is to accept  and pay bills of exchange (Draft(s)) drawn by the Beneficiary, or    ii) authorises another bank to effect such payment, or to accept and pay such bills of  exchange (Draft(s)), or    iii) authorises another bank to negotiate, against  stipulated document(s), provided that the terms and conditions of the Credit are complied with

Modes of Payment Letter of Credit 《跟单信用证统一惯例》对信用证有如下的定义：“跟单信用证”和“备用信用证”（以下统称“信用证”），意指一项约定，不论其如何命名或描述，系指一家银行（“开征行”）应其客户（“申请人” 的要求和指示或以其自身的名义，在与信用证条款相符的条件下，凭规定的单据： 1.向第三者(“受益人”）或其指定人付款，或承兑并支付受益人出具的汇票，或 2.授权另一家银行付款，或承兑并支付该汇票，或 3.授权另一家银行议付。”  

B.Modes of Payment Letter of Credit 信用证是开证银行根据开证申请人的请求和开证行以自身名义向受益人开立的在一定金额和一定期限内凭规定的单据承诺付款的书面文件。 简而言之，信用证是一种银行开立的有条件的付款承诺。

Modes of Payment Letter of Credit Parties relating to L/C Contents of L/C Procedure of L/C Feature of L/C Kinds of L/C

Letter of Credit 1. Parties relating to L/C 开证申请人（Applicant） 开证银行（Opening Bank, Issuing Bank） 通知银行（Advising Bank, Notifying Bank） 受益人（Beneficiary） 议付银行（Negotiating Bank） 付款银行（Paying Bank, Drawee Bank）

Letter of Credit 1. Parties relating to L/C Applicant (开证申请人): who applies to the bank for issuance of a letter of credit. The originating bank or opening bank or issuing bank (开证银行): which is the bank receiving the application from the applicant to issue the L/C and will be responsible for payment.

Letter of Credit 1. Parties relating to L/C The advising bank or correspondent bank (通知银行): which is a bank at the place where the exporter resides and may usually be a branch of the issuing bank or its correspondent. The advising bank hands the L/C to the exporter under the instructions from the issuing bank. The beneficiary (受益人): who is empowered to use the L/C.

Letter of Credit 1. Parties relating to L/C The negotiating bank (议付银行): which is a bank ready to accept or discount the documentary bill drawn by the beneficiary under L/C. The paying bank (付款银行): which is a bank responsible for the payment specified in the L/C.

Letter of Credit 2. Contents of L/C Description of L/C: kind, validity, expiry date etc. The parties involved The amount of L/C Description of the goods and delivery Description of the documents Any special requirements Clauses covering the responsibility of payment by the issuing bank in favor of the beneficiary

3. Procedure of L/C ①  ② ⑤  ④ ⑥ ③ ⑦ ⑧ 开证申请人 （进口人） 信用证受益 人（出口人） 付款行 A 开证申请人 （进口人） 信用证受益 人（出口人） A A ① A  ② ⑤  ④ ⑥ 付款行 开证行 通知行 议付行 ③ ⑦ ⑧

Letter of Credit 4. Feature of Letter of Credit L/C is a credit of the bank. 开证行负有第一付款责任

Case Study 某出口公司收到一份国外开来的L/C，出口公司按L/C规定将货物装出，但在尚未将单据送交当地银行议付之前，突然接到开证行通知，称开证申请人已经倒闭，因此开证行不再承担付款责任。问：出口公司如何处理？

Letter of Credit 4. Feature of Letter of Credit ② Credits, by their nature, are separate transactions from the sales or other contract(s) on which they may be based. 信用证是一种独立自主的文件 

Case Study 我某公司向非洲出口某商品15 000箱，合同规定1月至6月按月等量装运，每月2500箱，凭不可撤销即期信用证付款，客户按时开来信用证，证上总金额与总数量与合同相符，但装运条款规定为“最迟装运期6月30日，分数批装运。”我方1月份装出3000箱，2月份装出4000箱，3月份装出8000箱。客户发现后向我提出异议。你认为我方这样做是否可以？为什么？

Letter of Credit 4. Feature of Letter of Credit ③ Documents business. 信用证是一种单据交易。 “单证一致”，“单单一致”

Kinds of L/C Revocable L/C and Irrevocable L/C Revocable L/C (可撤销信用证) : Means that the opening bank may amend or revoke the credit before negotiation, acceptance or payment without agreement of the beneficiary. Irrevocable L/C (不可撤销信用证): Means that once the L/C is opened, without agreement of the beneficiary, the opening bank cannot amend or revoke the L/C within its validity.

Kinds of L/C Confirmed L/C and Unconfirmed L/C Confirmed L/C (保兑信用证) : An irrevocable L/C confirmed by another bank named by the opening bank Confirming bank (保兑行) : the bank authorized or requested by the opening bank to confirm the L/C Unconfirmed L/C (不保兑信用证): the L/C drawn by the opening bank is not confirmed by another bank.

Modes of Payment Letter of Guarantee 保证函 Is a written document issued by the bank on behalf of the importer or exporter in favor of the latter or the former guaranteeing to undertake payment, conclusion or performance of a contract, etc. L/G for performance of import and export contract L/G for bid and loan

Letter of Guarantee 保证函 L/G for performance of import and export contract L/G for performance of import contract 进口履约保函 Such as: import of equipment, compensation trade, etc L/G for performance of export contract 出口履约保函 Such as: Important export business, plant export guarantee

Letter of Guarantee 保证函 L/G for bid 投标保函 A kind of guaranty issued by the bank to the inviter for tender (招标人) on behalf of the bidder which guarantees that the bidder (投标人) will not withdraw the bid halfway or amend the bidding conditions unilaterally (单方面的) and will not refuse to sign a contract and pay performance bond (履约保证金) after winning the bid, otherwise the bank shall be responsible for making compensation for losses sustained by the inviter for tender.

Modes of Payment Difference between bank L/G and L/C Under L/C: issuing bank: as the first payer Under bank L/G: issuing bank: the second payer Under L/C: issuing bank: handles business, not contract Under L/G: opening bank: handles business according to the contract Under L/C: beneficiary can get accommodation through negotiation Under L/G: beneficiary can not do through negotiation.

Modes of Payment Difference between L/G and standby L/C Under L/G: opening bank: subsidiary payer Under standby L/C: opened in the favor of the beneficiary The opening bank of L/G is likely to be involved in the contract disputes, while under standby L/C, the opening bank has nothing to do with the contract.

Payment of Purchase Price Combination of Different Modes of Payment Combination of Remittance and L/C Combination of L/C and Collection Combination of Remittance and L/G

Combination of Different Modes of Payment Combination of Remittance and L/C Partial amount is paid by L/C, the balance is settled by remittance. Example: the business of ore 矿砂

Combination of Different Modes of Payment Combination of L/C and Collection Partial amount is paid by L/C, the balance is settled by collection. The exporter will draw two drafts The amount under L/C paid against a clean draft The full set of shipping documents attached to the sight draft or time draft under collection

Combination of Different Modes of Payment Combination of Remittance and L/G 5% - 10% of the value of the goods is paid by remittance, the remaining amount is settled through progressive payment or deferred payment against the L/G issued by the bank. Such as: full sets of equipment, big machinery, etc.

Combination of Different Modes of Payment Progressive Payment (Payment By Installments) 分期付款 Means that the importer pays the purchase price periodically according to the processes of production and delivery.

Combination of Different Modes of Payment Deferred Payment 延期付款 Means that the importer should pay a deposit (押金) first, then according to the processes of production and delivery, pay a certain amount of the purchase price periodically.

Combination of Different Modes of Payment Difference Between Progressive Payment and Deferred Payment Progressive payment is also called cash on spot delivery, while under the deferred payment, the importer shall undertake the interest. The transfer of the title to the goods is different.

D: Terms of Payment in the contract Stipulation of Remittance Stipulation of Collection Stipulation of L/C Combination of L/C and Collection Combination of L/C and Remittance Combination of Remittance and L/G