Export Documentary Credits:
HSBC takes on non-payment risk to ensure receipt of payment for exported goods, even in the case of customer non-payment. Documentary Credits provide peace of mind regarding payment and increased confidence when trading globally. To meet different business trade finance needs, HSBC offers Export Documentary Credit Confirmation and Documentary Credit Discounting.
Import Documentary Credits:
On presenting the correct documents HSBC will pay suppliers on behalf of a business, ensuring imported goods have been shipped before payment is issued. Different types of Letter of Credit import finance solutions include:
UPAS (Usance Letters of Credit Payable at Sight)
Payment is issued for imported goods at sight of the correct import documentation.
UPAU (Usance Letters of Credit Payable at Use)
Payment is issued for imported goods within an extended credit period once the correct import documentation has been received.
Export Documentary Collections:
The appropriate trade documentation will be held pending payment or promised payment at a diarised date. Acting as a trusted third party, HSBC facilitates the effective movement of trade documents. Which gives increased control of goods with assurance they will not be released until receipt of payment.
Import Documentary Collections:
Only once a supplier's bank has presented the correct shipping documents will payment be released for imported goods. Documentary Collections provide payment assurances to suppliers as well as confirmation that goods have been shipped as per agreed specifications.
Funding is provided to bridge gaps in business working capital and to optimise finances between procurement, production and collection of proceeds from customers. Trade loans are a trade finance solution to manage costs and build a competitive stance in global trade relations. HSBC provides two types of Trade Loans: