UPAS L/C (Usance payable at sight Letter of credit)

UPAS L/C (Usance payable at sight Letter of credit)

A trade finance solution that OCB grants credit to import clients who do not have enough foreign currencies sales proceeds and need to be financed post import financing under L/C at the cost equivalent to interest rate for foreign currency loans.

Features of product

Having term of payable at sight
Usance Letter of credit with term of payable at sight which allow the exporter receives payment at sight–  while the import client can make deferred payment 

Benefits of clients

  • Cost of Interest rate is equivalent to interest rate of FCY lending
  • To be extended payment tenor, however the exporter still receive the payment at sight in accordance with innitial agreement.
  • Costs are much lower than normal L/Cs
  • Many financing banks for UPAS L/Cs at preferential rates.

Documents required

  • Legal documents
  • Sales contract, Entrusted export / import Contract (if any)
  • Insurance policy (subject to trade terms )
  • Application for issuing UPAS L/C  (as OCB’s form)
  • Import/ quota license (for the case maybe)
  • Application Form for Buying Foreign Currency
  • Other documents

Registration procedure

Please kindly fill in the form with your information, we will contact you in soonest time.
Customer support
(84) 28 7305 6678