Letter of Credit Service Providers

Letter of Credit service

Ensuring payment is collected and received with less risk and no errors


Want less risk, faster deliveries and quicker payment?

Spatial Global is highly experienced in the management of Letters of Credit. Letters of Credit (also known as documentary credits) are one of four principal mechanisms for settling international trade debts – the others being bills of exchange, open accounts and advance payments.


Want to speak to one of our team about Letters of Credit services?

Spatial Global is highly experienced in the management of Letters of Credit, and employs specialist staff trained by the banks to advise on their preparation and presentation up to the point they are paid. Spatial Global's specialists will ensure your export documentation is prepared and authorised quickly and smoothly. Preparing and assisting with your 'Letter of Credit' regardless of the agreed Incoterm and whether or not we are also responsible for managing the freight.


Why do I need a Letter of Credit?

Letters of Credit tend to be used to ensure that payment is received when buyer and seller do not know each other, and usually where they are in different countries. In some jurisdictions, settlement by Letter of Credit is insisted upon by the local authority, which may wish to control imports or the associated outflows of foreign exchange.


Why are Letters of Credit so popular for settling international trade debts?

Letters of Credit are undertakings by an issuing bank, on behalf of a buyer/importer, that payment will be made for goods or services supplied by a seller/exporter, provided that the seller complies with certain terms and conditions. In this event, if the buyer is unable to make the payment then the bank will cover the outstanding amount.


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