|
OTP Bank is dealing with all kinds of Documentary operations:
Documentary Credits:
- Export Letters of Credit;
- Import Letters of Credit.
Bank Guarantees:
- Bid Bonds (Tender guarantees);
- Performance guarantees;
- Advance payment Guarantees;
- Payment guarantees;
- Stand-by Letters of Credit;
- Credit repayment guarantees.
Documentary Collection:
- The main advantage of Letters of Credit and Bank Guarantees is:
Universality;
- Letters of Credit and Bank guarantees may be utilized by you as an alternative to credit funds attraction.
Low cost:
- Issuance of Letters of Credit and Guarantees is much cheaper than attraction of credit funds;
- OTP Bank’s interest for issuance of non cash-covered Letter of Credit or Guarantee doesn't exceed 4-6% p.a.
Risks minimization:
- No risk of non-delivery of goods: payment is made against previously agreed documents confirming delivery or even after receipt of goods;
- Goods quality required by you will be confirmed by respective documents indicated by you in the Letter of Credit.
Mutual benefit:
- Letters of Credit and Bank guarantees are the instruments advantageous not only for you but for your counterparty as well;
- Utilization of Documentary Credits and Bank guarantees helps to achieve compromise between supplier's and buyer's positions;
- Increase of working capital;
- You have a possibility to increase volume of your operations without attracting additional credit funds just at the account of deferment of payment allowed by your supplier.
Evidence of reliability of your company:
- Letters of Credit and Bank guarantees issued or confirmed by well-known banking institutions in many countries prove high reputation, reliability and creditworthiness of your company.
Accessibility:
- OTP Bank will help its customers with consultations at all stages of the transactions with utilization of Letters of Credit and/or Guarantees, beginning with pre-contract negotiations till successful completion of the trade operation.
|
