First Capital Bank’s collection bills facility provides exporters the flexibility, security and ease they require to do international business. Here at First Capital Bank we manage all the document-handling on behalf of both export and import clients. You are encouraged to hand over the task of collecting payment for goods supplied to our bank, we then send the shipping documents to the importer’s bank together with payment instructions.
Collection bills are payment mechanisms, usually cheaper than Letters of Credit but provide more security to the supplier than open account transactions. This mode of payment generally boost trading relationships by reassuring suppliers of their payment and safeguards the importer’s title to goods, usually funds are received from the importer and remitted to the exporter through the banks involved in the collection in exchange for those documents.
We will prepare a draft that requires the importer to pay the face amount either on sight (document against payment—D/P) or on a specified date in the future (document against acceptance—D/A).
Export Collection bills simplify the process of receiving payments from importers while also safeguarding the supplier’s title to the goods until payment has been received or documents have been accepted for payment.
