letter of credit

(redirected from Documentary Credits)
Also found in: Thesaurus, Legal, Financial, Encyclopedia.
Related to Documentary Credits: Documentary collections, Transferable letter of credit

letter of credit

n. pl. letters of credit Abbr. L/C
A letter issued by a bank authorizing the bearer to draw a stated amount of money from the issuing bank, its branches, or other associated banks or agencies.

letter of credit

n
1. (Banking & Finance) a letter issued by a bank entitling the bearer to draw funds up to a specified maximum from that bank or its agencies
2. (Banking & Finance) a letter addressed by a bank instructing the addressee to allow the person named to draw a specified sum on the credit of the addressor bank

let′ter of cred′it


n.
1. a document issued by a banker allowing the person named to draw money to a specified amount.
2. a letter from a bank notifying a person that drafts on the issuer have been authorized up to a specified amount.
[1635–45]
ThesaurusAntonymsRelated WordsSynonymsLegend:
Noun1.letter of credit - a document issued by a bank that guarantees the payment of a customer's draft; substitutes the bank's credit for the customer's credit
credit - money available for a client to borrow
commercial letter of credit - a letter of credit given to a business concern for commercial purposes
traveler's letter of credit, traveller's letter of credit - a letter of credit given to a traveler
document - a written account of ownership or obligation
Translations
remburssi

letter of credit

nlettera di credito
documentary letter of credit → lettera di credito documentata
References in periodicals archive ?
While we will continue to nurture our relationships with Europe and North America, increasingly we will be looking East -- and increasingly our young bankers will be trained in documentary credits and international trade techniques.
Earlier in July, Sudanese officials disclosed that the country's strategic reserve of wheat declined sharply due to refusal of several banks in western countries and Gulf States to open documentary credits for importing the commodity.
He said the CBE's demand for banks to manage credit facilitations with their correspondent banks abroad to fund the documentary credits is also very difficult.
It is hoped that this will set the same standards for demand guarantees as CDCSA has achieved for documentary credits.
36 percent of the facilities are funded under murabaha modes of financing, whereas 64 percent limits are for multipurpose bonds and documentary credits.
These credit facilities are to provide bonding commitments and fund the working capital and capex requirements of the company's projects; 36 per cent of the facilities are funded under Murabaha modes of financing, whereas 64 per cent limits are for multi-purpose bonds and documentary credits.
The seminar provided a comprehensive overview of best practices when examining documents under commercial documentary credits and examined the obligations and challenges faced by parties involved in the examination of documents, as well as detailed analysis of the application of the newly updated ISBP.
6--Consent of the issuer or the designated person in assignment of revenues of the letter of credit in paragraphs (c) and (d) is of great importance in the domestic and international documentary credits.
It produces universally accepted rules and guidelines for documentary credits, documentary collections, bank-to-bank reimbursement and bank guarantees.
6, Consequently, banks are restricting their use of documentary credits to importing strategic food stuffs.
His documentary credits include The Wright Challenge, Secrets of Jamestown, The Patent Files and Timelab 2000, an acclaimed collection of 200 history minutes hosted by Sam Waterston.
Algiers, 26 August: The External Bank of Algeria (BEA) proposes to raw materials importers, deferred-payment documentary credits and interim credits, under the complementary finance act 2009, the bank CEO Mohamed Loukal told APS on Wednesday.