letter of credit

listen to the pronunciation of letter of credit
English - Turkish
(Sigorta,Ticaret) akreditif mektubu
kredi mektubu
banka teminat mektubu
akreditif
tic. akreditif
itibar mektubu

Related Terms

LC
(Askeri) göl akıntısı (lake current)
English - English
A document, used primarily in trade finance and issued generally by a financial institution, in which the institution promises to pay debts up to a certain limit to be acquired by the beneficiary against delivery of documents specified in the letter
A document issued by a bank at the request of the buyer of goods The LC guarantees payment to the seller given receipt by the bank of certain shipping documents validating the delivery of goods, within a specified time period
An agreement between a bank and a borrower which allows the borrower to use money on the bank's credit
Letter issued by a bank or other lending institution promising payment to a third party in accordance with the terms of the agreement Letters of credit may be used in situations where a deposit is required or a security, eg Where a builder is about to sign a contract and has to put up security that the job will be finished; or a security deposit under a long term lease
A document issued by a bank stating its commitment to pay someone a stated amount of money on behalf of a buyer so long as the seller meets very specific terms and conditions Letters of credit are more formally called documentary letters of credit
A commitment by a bank or other person, made at the request of a customer, that the issuer will honor drafts or other demands for payment upon full compliance with the conditions specified in the letter of credit Letters of credit are often used in place of cash deposited with the landlord in satisfying the security deposit provisions of a lease
A letter issued by a bank authorizing the exporter to draw a stated amount of money from the issuing bank
A bank's promise that a shipment of goods will be paid for on arrival It's used mostly in foreign trade but is also used domestically to guarantee payment of securities BACK TO TOP
A letter of credit is a written promise from a bank stating that they will repay bonds to lenders if the borrowers is unable to pay them. The project is being backed by a letter of credit from Lasalle Bank. A letter issued by a bank authorizing the bearer to draw a stated amount of money from the issuing bank, its branches, or other associated banks or agencies. an official letter from a bank allowing a particular person to take money from another bank
A form of guarantee of payment issued by a bank used to guarantee the payment of interest and repayment of principal on bond issues
A document, issued by a commercial bank, that commits itself to honor drafts drawn as described in the terms of credit The instructions by a buyer of goods authorize the seller to draw a specified sum of money under specified terms, usually the receipt by the bank of certain documents within a given time
a document issued by a bank that guarantees the payment of a customer's draft; substitutes the bank's credit for the customer's credit
note in which a bank promises to provide a financial loan
A document and its accompanying required procedures issued by the International Chamber of Commerce and used to facilitate international trade The purpose of the L/C is to eliminate certain risks involved in international trade incurred by both supplier and buyer The targeted risks include: one side swindling the other; those associated with the unfamiliarity of the parties with the other's courts or language; customs problems; and political uncertainty
May be revocable or irrevocable - A document, consisting of specific instructions by a buyer of goods, that is issued by a bank to the seller who is authorized to draw a specified sum of money under certain conditions, i e , the receipt by the bank of certain documents within a given time An irrevocable L/C provides guarantee by the issuing bank in the event that all terms and conditions are met by the buyer (or drawee) A revocable L/C can be canceled or altered by the drawee after it has been issued by drawee's bank A confirmed L/C is one issued by a foreign bank which is validated or guaranteed by a U S bank for a U S exporter in the case of default by the foreign buyer or bank
A document that substitutes the credit standing of the issuing bank for that of the buyer assuring the beneficiary (exporter) that the (exporter's) draft will be honored when presented if the terms of the credit are complied with
Undertaking, usually on the part of a bank and at the request of one of the bank's customers, to pay a named beneficiary a specified amount of money (or to deliver an item of value) if the beneficiary presents documents in accordance with the terms and conditions specified in the letter of credit
A document, issued by a bank, per instructions by a buyer of goods, authorising the seller to draw a specified sum of money under specified terms, usually the receipt by the bank of certain documents within a given time
~ A liquidity agreement issued by a third party guaranteeing to pay the principal and interest on a bond issue LOCs may be written either as direct pay or stand by A direct pay LOC will pay the interest directly to the bondholder and recover the monies from the issuer while a standby LOC will pay interest only if the issuer is able to meet its obligation in a timely manner LOCs usually are written for a limited length of time, typically for less that 5 years, and must be renewed during the life of a bond issue
A document, issued by a bank per instructions by a buyer of goods, authorizing the seller to draw a specified sum of money under specified terms, usually the receipt by the bank of certain documents within a given time
A letter of credit is a letter written by a bank authorizing another bank of pay someone a sum of money. Letters of credit are often used by importers and exporters
An instrument issued by a bank or other person at the request of an account party that obliges the issuer to pay to a beneficiary a sum of money within a certain period of time upon the beneficiary's presentation of documents specified by the account party
Abbreviation: L/C A written undertaking by a bank (issuing bank) given to the seller (beneficiary) at the request, and on the instructions of the buyer (applicant) to pay at sight or at a determinable future date up to a stated sum of money, within a prescribed time limit and against stipulated documents
A document issued by a bank per instructions from a buyer of goods, authorizing the seller to draw a specified amount of money under specified terms, usually the receipt by the bank of certain documents with a given time
Letter from a bank stating that it has established credit in the company's favor
A financial guaranty issued by a bank that permits the party to which it is issued to draw funds from the bank in the event of a valid unpaid claim against the other party; in reinsurance, typically used to permit reserve credit to be taken with respect to non-admitted reinsurance; and alternative to funds withheld and modified coinsurance
is a document issued by a Bank on behalf of a customer which guarantees payment by the bank of cheques drawn by the customer, or more commonly of bills drawn on that customer by parties from whom ha has bought goods An added security in financing foreign trade
An instrument issued by a bank, in which the bank promises to pay a beneficiary upon presentation of documents specified in the letter of credit
A document issued by a bank or other financial institution attesting to an individual's or company's ability to borrow money within specific limits
A letter generated by a bank to a seller that authorizes a draft payment for a specific amount based on meeting a predefined set of terms (an exact description of the goods, services and quantities)
L/C
l.c
LC
letter of credit
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