Reliable instrument that ensures effecting of payments.
JSC “CREDIT AGRICOLE BANK” offers documentary operations as a reliable tool for ensuring payment execution.
Documentary operations – a convenient form of payment, which allows to protect the interests of clients and their counterparties and minimize the risks in trade operations.
Advantages of documentary operations:
The large international network of CREDIT AGRICOLE GROUP and the high bank reliability rating allow to use intra-group limits to confirm letters of credit by foreign banks of CREDIT AGRICOLE GROUP and / or to issue guarantees under bank's counter-guarantees.
It gives benefits for the clients of JSC “CREDIT AGRICOLE BANK” in organization of a trade operations and reduces costs of banking services - the price of confirmation by a foreign bank of CREDIT AGRICOLE GROUP is lower due to group pricing policy.
Documentary letter of credit – bank’s obligation issued as per buyer’s (applicant’s) instructions to make a payment in seller’s (beneficiary’s) favor subject to receipt of documents which confirm shipment of goods and comply with letter of credit terms.
| For buyer (applicant) | For seller (beneficiary) |
|---|---|
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| Conditions of letter of credit issuing | ||
|---|---|---|
| Amount and validity | as per contract requirements | |
| Requirements for collateral | cash cover, property rights for deposit | real estate, equipment, vehicles, other assets and their combination |
| Insurance of pledged property | - | at any insurance company approved by the bank on client’s choice |
| Commission for letter of credit issuing[1] | 2%-2,4% p.a., min. 33 USD [2] per month – in case of commission payment on a monthly basis / min. 100 USD [2] per quarter – in case of commission payment on a quarterly basis | 3.5% p.a., min. 33 USD [2] per month – in case of commission payment on a monthly basis / min. 100 USD [2] per quarter – in case of commission payment on a quarterly basis |
| Other bank’s commissions under issued letter of credit [1] | 1) commission for amendment of letter of credit: 50 USD [2]/each amendment (except of amendment in part of amount increasing or prolongation) 2) commission for letter of credit cancellation (one-time): 50 USD [2] 3) commission for taken-up documents and/or payment: 0,2% from the amount of documents, min 100 USD [2]/ each package of documents 4) commission for discrepancy in documents: 50 USD [2] /each package of documents 5) commission for issuing letter of credit in SWIFT-message form (one-time): 25 USD [2] | |
| Other possible costs | 1) payment for the services of third parties (insurance company, notary, property appraiser, etc.) - according to the tariffs of such third parties chosen by the client for receiving the relevant services 2) third bank’s commissions (advising bank, confirming bank, correspondent bank etc.) – in case of occurrence should be paid according to the tariffs of such banks. | |
[1] commission for letter of credit issuing /other bank’s commissions could be set individually as per arrangement with a client
[2] commission indicated in foreign currency to be paid as per official NBU rate indicated on the date of its payment
Package of documents required for letter of credit issuing depends on structure of the operations and collateral. You can obtain detailed information by contacting your personal manager or by visiting our branch in your city/town.
Bill avalization – operation according to which the bank undertakes the responsibility to pay the bill for payer in case of failure to pay the bill by such payer within payment period.
| For buyer (payer) | For seller (bill owner) |
|---|---|
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| Conditions of bill avalization | ||
|---|---|---|
| Types of bills which could be avalized |
| |
| Currency of bills | UAH | |
| Requirements for collateral | cash cover, property rights for deposit | real estate, equipment, vehicles, other assets and their combination |
| Insurance of pledged property | - | at any insurance company approved by the bank on client’s choice |
| Bill avalization cost[1] |
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| Other bank’s commissions | other commissions could be set as per arrangement with a client | |
| Other possible costs | payment for the services of third parties (insurance company, notary, property appraiser, etc.) - according to the tariffs of such third parties chosen by the client for receiving the relevant services | |
[1] bill avalization costs could be set individually as per arrangement with a client
[2] commission indicated in foreign currency to be paid as per official NBU rate indicated on the date of its payment
Package of documents for bill avalization depends on structure of the operations and collateral. You can obtain detailed information by contacting your personal manager or by visiting our branch in your city/town.
Bank guarantee is a tool of proper and timely fulfillment of contractual obligations in relations with your counterparties which represent written bank’s obligation to pay the beneficiary (your counterparty) in case of non-fulfilment of your obligations as per the contact terms and receipt of payment demand by the bank.
CREDIT AGRICOLE proposes the following types of guarantees to the clients:
CREDIT AGRICOLE also provides stand-by letter of credit – which, same like guarantee, secures the obligation to pay or fulfill other contractual obligations, however it is used when the legislation of the seller’s country prohibits using of guarantee or such seller requires stand-by letter of credit as a form of settlements.
| For buyer | For seller |
|---|---|
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| Conditions of guarantee / stand-by letter of credit issuing (hereinafter - guarantee) | ||
|---|---|---|
| Amount and validity | as per contract/tender documentation conditions | |
| Requirements for collateral | cash cover, property rights for deposit | real estate, equipment, vehicles, other assets and their combination |
| Insurance of pledged property | - | at any insurance company approved by the bank on client’s choice |
| Issuing guarantee cost [1] |
|
|
| Other bank’s commissions under issued guarantee [1] | 1) commission for guarantee amendment: 50 USD [2]/each amendment (except of amendment in part of guarantee amount increasing or guarantee prolongation) 2) commission for guarantee cancellation (one-time): 50 USD [2] 3) commission for taken-up demand under guarantee and/or payment: 0,2% from the amount of demand/documents, min 100 USD [2]/ each demand under guarantee 4) commission for issuing guarantee in SWIFT-message form (one-time): 25 USD [2] | |
| Other possible costs | 1) payment for the services of third parties (insurance company, notary, property appraiser, etc.) - according to the tariffs of such third parties chosen by the client for receiving the relevant services 2)third bank’s commissions (advising bank, confirming bank, correspondent bank etc.) – in case of occurrence should be paid according to the tariffs of such banks. | |
[1] issuing guarantee cost/other bank’s commissions could be set individually as per arrangement with a client
[2] сommission indicated in foreign currency to be paid as per official NBU rate indicated on the date of its payment
Package of documents and type of application form for banking guarantee depend on structure of the operations and collateral.
You can obtain detailed information by contacting your personal manager or by visiting our branch in your city/town.
