Payment Methods in International Trade

Advance Payment

The importer pays, in part or in whole, for goods ordered abroad prior to receiving them, and without any guarantee of reimbursement.

Open Account

The seller sends the goods directly to the buyer overseas and the delivery is not conditioned on the fulfillment of the payment obligation by the buyer’s bank.

Documentary Collection 

The seller/exporter submits the documents to the buyer’s/importer’s bank which serves as a trustee of the exporter for the transfer of documents and payment collection.

Letter of Credit (L/L)

The importer’s bank undertakes to pay the beneficiary (usually the supplier), provided that he meets all the terms of the L/C.

In accordance with what exists on the relevant page on the website