Letter of Credit Service

What is a Letter of Credit?

A Letter of Credit is an official document that is typically issued by the importer’s bank but is only secure if you, as the exporter, meet all of its strict conditions and deadlines. Worryingly, over 75% of UK exporters who do their own Letter of Credit paperwork experience problems getting paid due to incorrect paperwork.

How can we help?
We are leaders in export documentation preparation and can take the hassle out of Letters of Credit for your business. Our team of experienced staff will use their strong relationships with all the major global banks to ensure that you receive payment on time for your exports. We deliver a fully managed, comprehensive service that conforms to Letter of Credit requirements with a view to securing payment for your goods.

Export Collection

What is Export Collection?
Export Collection is a payment method frequently used in international trade. This type of transaction is also known as Cash against Documents (CAD), D/P for payments at sight, or D/A for Documents against acceptance. In simple terms, it is where payment is due at a future date.

How can we help?
We can assist by either creating certain documentation for you, the exporter, or you can use your own documentation, also obtaining any 3rd party documentation, followed by presenting documentation to your bank on your behalf.

Open Account

What is Open Account?
An open account transaction is a sale where the goods are shipped and delivered prior to the due date for payment.

How can we help?
We can assist by either creating certain documentation for you, the exporter, or you can use your own documentation, obtaining any 3rd party documentation, followed by the despatch of documents to your client.

All the above services include:

  • Advice on Letter of Credit terms
  • Preparation of all shipment documents
  • Compliance checks for third-party documents
  • Liaison with freight forwarders, shipping companies, inspection agents, etc.
  • Advice on Incoterms® 2020
  • Arrangement of cargo insurance

Services specific to Letters of Credit:

  • Presentation of all documents to the bank within agreed deadlines

How much does a Letter of Credit cost?

Letter of Credit costs vary depending on the value (£ equivalent) of the export on your Letter of Credit. Costs for open account and Export Collection are not value dependant. See how we calculate the price of your Letter of Credit (PDF). To find out more about our prices, please contact the team.

  • Apply for a Letter of Credit

    Simply complete the enquiry form below and one of our advisers will be in touch to discuss your specific requirements.

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  • We are really pleased with the Letter of Credit service that has been provided to us. You've taken away all the daunting worry of what can be a complicated process, which gives my customers and me confidence for easy transactions. The team's attention to detail and all round service is very much appreciated.
    Gary Hopwood
  • Business West's Letter of Credit team is pleasant and helpful. My overall experience with the team has been excellent.
    Uttara Barton
  • The team has provided us with outstanding support and guidance over the years. Their advice, experience and attention to detail has proved essential to our business and we’ve always received a truly excellent service, which enables us to trade globally with confidence.
    Louise Mee
    Caleva Process Solutions