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Documentary collection

Do you want your foreign economic activities to be more protected without spending surplus costs?
Use documentary collections in your activities!
Compliance with international rules
Protection of importer interests
Protection of exporter interests
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Compliance with international rules
Compliance with The Uniform Rules for Collections (URC 522) published by the International Chamber of Commerce in Paris
Protection of importer interests
Potection against the risk of non-delivery of goods. The importer does not pay for goods until it receives the documents granting it the ownership rights for such goods or evidencing the shipment thereof
Protection of exporter interests
Collection documents are not released to the importer until it makes a payment or accepts a draft

Advantages

  • Compliance with The Uniform Rules for Collections (URC 522) published by the International Chamber of Commerce in Paris
  • For the importer: protection against the risk of non-delivery of goods. The importer does not pay for goods until it receives the documents granting him the ownership rights for such goods or evidencing the shipment thereof
  • For the exporter: the collection documents are not released to the importer until he makes a payment or accepts a draft.

Terms and conditions

Collection means transfer of documents by banks in accordance with exporter instructions in order to receive payment.

Documents are released by the bank to importer against payment or acceptance of the draft. The use of such settlement method as collection is often caused by the peculiarities of local legislation in some countries. The use of documentary collection for settlements provides higher level of protection to the importer, since it does not make a collection payment until it receives documents or accepts a draft.

Exporters can use this settlement method provided they are confident in the willingness and readiness of their buyers to pay for the delivered goods, but at the same time consider it necessary to maintain control over the goods until the moment of payment or acceptance of the draft.