What does commercial letter of credit mean?
Definitions for commercial letter of credit
com·mer·cial let·ter of cred·it
This dictionary definitions page includes all the possible meanings, example usage and translations of the word commercial letter of credit.
Princeton's WordNet
commercial letter of creditnoun
a letter of credit given to a business concern for commercial purposes
Wikipedia
commercial letter of credit
A letter of credit (LC), also known as a documentary credit or bankers commercial credit, or letter of undertaking (LoU), is a payment mechanism used in international trade to provide an economic guarantee from a creditworthy bank to an exporter of goods. Letters of credit are used extensively in the financing of international trade, when the reliability of contracting parties cannot be readily and easily determined. Its economic effect is to introduce a bank as an underwriter that assumes the counterparty risk of the buyer paying the seller for goods.
ChatGPT
commercial letter of credit
A commercial letter of credit is a financial document issued by a bank or financial institution guaranteeing a buyer's payment to a seller within a specified timeframe. If the buyer is unable to make the payment, the issuing bank will cover the full or remaining amount. It is a widely used method of payment in international trade to reduce the risk of non-payment after shipment or delivery of goods.
Matched Categories
Numerology
Chaldean Numerology
The numerical value of commercial letter of credit in Chaldean Numerology is: 9
Pythagorean Numerology
The numerical value of commercial letter of credit in Pythagorean Numerology is: 9
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"commercial letter of credit." Definitions.net. STANDS4 LLC, 2024. Web. 23 Apr. 2024. <https://www.definitions.net/definition/commercial+letter+of+credit>.
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