Name

Import Bill Advance by Overseas Institution

Introduction

The product is a short-term financing service. According to the written contract with a branch / Head Office of Bank of China (domestic correspondent bank) or other commercial banks, Bank of China Brussels Branch makes advance payment for the receivables under documentary L/C or documentary collection of a domestic correspondent bank or domestic peer.

Features

The product aims at meeting the demand of the low-cost overseas funds for domestic correspondent banks or peers.

Charges
The interest rate for financing will be determined by Bank of China Brussels Branch based on Bank of China's rules on trade financing interest rate and charges and negotiation with the customer.

Target Customers

1. Exporters outside China who wish to obtain payment at sight, whereas importers and their banks in China expect forward payment and financing;

2. Exporters who are in a country or region where the capital cost is lower than that in China.

Application Qualifications

The domestic peer shall have financial institution credit line in the Head Office of Bank of China.

Procedure

1. Procedure of import bill advance by Brussels Branch for domestic correspondent banks:

(1) Bank of China Brussels Branch signs the Agreement on Import Bill Advance by Overseas Institutions with the domestic correspondent bank;

(2) Domestic correspondent bank file application to the Branch in accordance with the agreement, and mails the duplicate of L/C or collection letter to the Branch;

(3) When receiving document – letter conformity documents under L/C or customer's honouring letter / acceptance bill for collection money, and approving the import bill advance for clients, the domestic correspondent bank shall specify the payment obligation, and notify the payment date, payment agency term and so on via KKT;

(4) Bank of China Brussels Branch makes the payment under the instructions of domestic correspondent bank;

(5) The domestic correspondent bank makes repayment to the Branch upon maturity of the financing.

2. Procedure of import bill advance by Brussels Branch for domestic peers:

(1) Bank of China Brussels Branch signs the Agreement on Import Bill Advance by Overseas Institutions with the domestic peer;

(2) Domestic peer specifies the payment obligation, and notifies the payment date, payment agency term and so on via KKT in accordance with the agreement;

(3) Bank of China Brussels Branch makes the payment under the instructions of domestic peer;

(4) The domestic peer makes repayment to the Branch upon maturity of the financing.

Our Advantages

1. Capital advantages: Bank of China is the strongest bank in China in terms of foreign exchange funds and able to meet financing requirements in various currencies.

2. Network advantages: with overseas branches all over the world, especially in major financial centers, Bank of China can provide customers with low-cost overseas fund support.