Ensuring Secure Transactions
Doing business with companies that have impeccable credentials is essential, but sometimes, it's prudent to have additional security. Authentic Financial Services, in collaboration with our associate banks, offers a Letter of Credit (LC) facility
that guarantees payment, especially useful when transacting with companies you have limited exposure to.
Why Choose Our Letter of Credit Services?
- Payment Guarantee: Our LC services provide a secure guarantee of payment, giving you peace of mind in your transactions.
- Enhanced Credibility: Using an LC enhances your credibility with suppliers and business partners, facilitating smoother transactions.
- Risk Mitigation: Mitigate the risks associated with international and domestic trade by ensuring that payments are made as per the agreed terms.
- Expert Guidance: Our team of experts will guide you through the entire process, ensuring a seamless and efficient experience.
Types of Letters of Credit
- Sight Letters of Credit (Sight LCs): Payment is made immediately upon presentation of the required documents.
- Usance Letters of Credit (Usance LCs): Payment is made after a specified period, providing the buyer with a credit period to arrange for payment.
- Inland LCs: Used for domestic trade transactions within the same country.
- Foreign LCs: Used for international trade transactions between different countries.
Benefits of Using Letters of Credit
- Secured Payments: Ensure that payments are made promptly and securely, reducing the risk of non-payment.
- Smooth International Trade: Facilitate international trade by providing a reliable payment method that is recognized worldwide.
- Negotiable Instruments: LCs can be transferred or assigned to third parties, providing flexibility in managing your receivables.
- Improved Cash Flow Management: Manage your cash flow more effectively by aligning payment terms with your financial planning.
- Increased Trust: Build trust with new and existing business partners by offering a secure and reliable payment method.
How It Works
- Application: Apply for an LC through Authentic Financial Services with the details of your transaction.
- Issuance: Upon approval, our associate bank issues the LC to the beneficiary (seller/supplier).
- Presentation of Documents: The beneficiary presents the required documents as per the LC terms.
- Verification: The documents are verified, and if they meet the LC conditions, payment is made to the beneficiary.
- Payment Settlement: Depending on the type of LC, payment is made immediately (Sight LC) or after the specified period (Usance LC).
Get Started Today
Secure your transactions and enhance your business credibility with Authentic Financial Services' Letter of Credit and Buyer's Credit services. Whether dealing with domestic or international partners, our LC facilities provide the security
and trust you need to conduct your business confidently. Contact us today to learn more about how our Letter of Credit services can benefit your business.
