Payment is an important step in any business, and when it comes to foreign trade , some international payment methods are available to those who import or export.
And since we are talking about exchange rates, it is important to mention the “Four Circulars” from the Central Bank of Brazil that govern this matter
Letter of credit the most
It is one of the safest international payment phone number list methods in foreign trade. The letter of credit (L/C) offers guarantees to both the importer and the exporter and generally works as follows:
The importer requests credit from a bank in his country;
The existence of this credit is notified to the exporter’s bank, which arranges for the shipment of the goods in accordance with the letter of credit and conditions issued therein
The document contains details of the operation, such as the merchandise purchased, quantities, packaging , shipping permissions and deadlines, invoices , among others, as well as information about the importer, exporter, values and permitted variations.
All information in the letter of credit is checked by the financial institution to ensure that the exporter is fulfilling his part of the agreement and, if everything is in order, he receives payment. But be careful! The bank only analyzes the documentation.
Advance payment
In this type of collection, the compress images importer makes the payment before the exporter ships the product. In this format, the importer requests a bank in his country to send the foreign currency, which will be sent to a bank in the exporter’s country.
Upon receiving confirmation of this credit, the exporter ships the goods and sends the documentation. The exporter must provide the exchange contract before shipment.
This type of international payment is advantageous for those who are selling, but risky for those who are buying, since there is no guarantee of receiving the goods, in addition to the trust in the commercial partner.
The disadvantage for those who are exporting is assuming the risk of exchange rate fluctuations. Some countries, such as China, for example, require this payment method for many of their sales.
Remittance without withdrawal
>>>>>>>>>>>>>>>The importer receives the documents aero leads without withdrawal directly from the exporter, promotes the customs clearance of the goods and subsequently arranges the payment of the amounts abroad.
The main advantages of this modality are agility and reduced bank charges.</p></p></p></p></p></p>
In this modality, one of the risks is the loss of documentation, but the greatest risk lies with the exporter, who may not receive pa
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Documentary collection the most
In this format all purchase and sale documentation is processed via the bank . The exporter ships the goods and sends the documentation. The importer makes the payment to collect the documentation from the bank and release the goods at customs.