Product Description

In a Forfaiting transaction Bank of China purchases the outstanding claims resulting from sales of goods or services without recourse. Usually the outstanding claims have been accepted/undertaken/avalised by a third party financial institution. The types of outstanding claims possibly acceptable in forfaiting by Bank of China include: L/C, bills of exchange, promissory notes, outstanding claims guaranteed by payment guarantee/standby L/C, outstanding claims guaranteed by export credit insurance and other acceptable credit instruments.

Product Features

Forfaiting business enables a customer to receive non-recourse payments with fixed rate and without taking up its credit line, so that it can meet the customer's needs in avoiding risks, accelerating cash flow, improving financial position.