Export

Export by Letter of Credit/ Documentary credit

Letter of Credit is a commitment by Coopbank on behalf of its customer, the importer (buyer) that payment will be made to the beneficiary (exporter) provided that the terms and conditions stipulated in the letter of Credit are complied with.

LC is a secure international payment method for the importer and exporter.

Export by Cash against Document

Cash against Document (CAD)

CAD:  is a transaction whereby the exporter entrusts the collection of the payment for a sale to Coopbank (remitting bank), which sends the documents that its buyer needs to the importer’s bank (collecting bank), with instructions to release the documents to the buyer for payment.

 Features

• Allows the importer not to pay for goods before shipment.
• The collection cover letter gives instructions that specify the documents required for the delivery of the goods to the importer.
• More favorable to the exporters to start manufacturing or ship the goods.
• Exporter can eliminate credit risk or the risk of non-payment
• The issuing bank makes payment to the beneficiary or exporter against the receipt of complying stipulated documents.

Export by Advance Payment

Also known as pre-payments, cash in advance is as it sounds. The buyer pays the seller in full before the merchandise is delivered and shipped off to the buyer.

Export- Payment through bank transfers.

Export on Consignment

Consignment basis payment is a method of payment in which the title to the goods remains with the Coopbank’s customer /seller/ until an agent (distributor) in a foreign country sells them.

Payment is made to the seller if and when the agent (distributor) sells the goods.