Exporters who require guarantee of payment will ask for:

Question

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An irrevocable letter of credit provides exporters with the guarantee of payment they require. This type of letter of credit is issued by the importer's bank and guarantees that payment will be made to the exporter as long as the necessary documents are presented in compliance with the terms of the letter of credit. Trade acceptances and bankers' acceptances may also provide some level of guarantee of payment, but they are not as widely used or accepted as irrevocable letters of credit.

Exporters Who Require Guarantee of Payment Will Ask For