Import Documentary Credit or LC

• Ensures a supplier has met your terms and conditions before you pay them
• Strengthens your negotiating position by offering a guaranteed payment
• Can be used to improve cash flow

• Protects you and your supplier's interests
• Can be used to increase the credit period a supplier is willing to give
• Documentary Credits issued by HSBC will be widely accepted as payment assurance by suppliers and their banks
• Can be used in place of deposits and advances financed by import loans, overdrafts or your own cash reserves

A Documentary Credit is an undertaking by a bank to pay a supplier for goods or services within a prescribed time limit as long as clearly defined terms and conditions have been met.