国际商务谈判课件肖文萍Unit 11LCIntroduction.doc

IntroductionThe Letter of Credit is essential in the finance of international trade. It is a reliable and safe method of payment, and it protects the seller as well as the buyer. As far as the seller’s benefit is concerned, he must urge the buyer to establish an L/C as soon as possible. When the seller receives a credit, it is crucial for him to inspect it thoroughly and carefully. If the beneficiary finds mistakes or terms and conditions which do not comply with the contract of sale, he must contact the applicant and request for amendment of the credit without delay. The following details have to be checked:1. Details about the L/C itself: validity, L/C amount, time of negotiation etc.2. Description of goods: name of commodity, quantity, unit price, specifications etc.3. Shipment: The port of shipment and the port of destination, date of latest shipment, transshipment and partial shipment.4. Documents required.5. Special terms and conditions etc. Sometimes the seller may fail to get the goods ready for shipment in time or the buyer may request that the shipment be postponed for one reason or another; then the seller will have to ask for extension of the expiry date as well as the date of shipment of the L/C.。