Letter of Credit (L/C)

An L/C is a written undertaking issued by BEA to the seller (beneficiary), for account of the buyer (applicant), to pay a sum of money upon the seller’s presentation of documents in compliance with the terms and conditions set forth in the L/C. It is a useful tool for importers, especially when negotiating with new suppliers from new sources.

Trust Receipts

Upon receipt of import documents drawn under the L/C or upon collection from the seller’s bank, BEA offers short-term trade loans under trust receipts (for pre-approved tenor and interest rate) to the importers. By special arrangement, BEA can also finance open-account purchases under trust receipts for valued customers upon their presentation of original invoices and negotiable transport documents.

Inward Bill Collection

BEA acts as the collecting agent for the seller’s bank to present collection of bills drawn on their customers for payment or for transfer to trust receipts.