Standby Letter of Credit (SBLC)

Standby Letter of Credit (SBLC) Introduction

A Standby Letter of Credit is often used to provide security for an obligation, such as a lease or other long-term contract. Landlords may require a deposit or a standby letter of credit that guarantees payment from the issuing bank if a tenant falls in arrears. Often, large contracts may require at least one of the parties to have a standby letter of credit in place for the transaction to move forward. Basically, a standby letter of credit guarantees the beneficiary that it will be paid from a creditworthy bank if it’s unable to get paid by its counterparty in a transaction.

Express provides standby letters of credit, allowing transactions to happen that otherwise might be considered too risky by the receiving entity.

IMPORTANT: Standby Letters of Credit (SBLC) are normally forms of payment security or payment guarantee between a Buyer and Seller of Goods. Therefore the Standby Letter of Credit (SBLC) we provide clients are NOT MONETIZABLE and are NOT TRANSFERABLE like a Bank Guarantee (BG) would be. A Standby Letter of Credit (SBLC) is a specialist payment mechanism that is used for a specific buy and sell goods transaction, a SBLC cannot be monetized by a 3rd party.

Standby Letter of Credit (SBLC) Benefits

A letter of credit minimizes risk, maximizes control, and optimizes profits associated with international trade by making transactions simpler, smoother and safer for all sides.

Buyer Benefits

• You may not have the necessary collateral requirements or relationship with the bank to get a letter of credit—but we do.
• You don’t have to leave deposits with your suppliers, since your letter of credit will be opened for the full amount of the transaction—so your cash is not tied up or at risk while your supplier can often borrow against a letter of credit.
• You may significantly increase your ability to do business with companies outside the U.S. by bolstering your financial position with your suppliers.
• You can build safeguards into the letter of credit, including inspection of the goods and quality control, and set production and delivery times. This gives you more quality control over your goods.

Seller Benefits

• Payment is assured as long as you comply with the terms and conditions of the letter of credit.
• The credit risk is transferred from the buyer to the issuing bank, which is obligated to pay even if the buyer goes bankrupt.
• You have easier access to financing and are able to transfer all or part of the letter of credit to another party, e.g., to purchase raw materials.
• Collection time is minimized, as the letter of credit accelerates payment of receivables, and foreign exchange risk is eliminated when it is issued in the currency of your country.

5 Reasons to use Secure Platform Funding to deliver Standby Letter of Credit (SBLC) for you:

1. 72 Hour Delivery - We normally deliver s Standby Letter of Credit (SBLC) within 72 hours of all documentation and payments being completed.
2. Any Country - We will issue a Standby Letter of Credit (SBLC) for the import/export of goods from ANY country except Austria.
3. Any Currency - We will issue a Standby Letter of Credit (SBLC) in almost any currency except Renminbi.
4. Lower Fees - Our fees for issuing a Standby Letter of Credit (SBLC) are more cost effective than many larger public banks.
5. Less Restrictive - Our required control clauses for a Standby Letter of Credit (SBLC) are much easier than other banks.

We use the Bank SWIFT Network to have the clients Standby Letter of Credit (SBLC) delivered Bank to Bank. We operate a reliable, efficient delivery and authentication process to ensure all Standby Letters of Credit (SBLC) are successfully delivered for our clients.

Client Deposits are 100% Protected with 2 Levels of Protection

We value our relationships with our clients so much that ALL CLIENT DEPOSITS for a Standby Letter of Credit (SBLC) receive 2 Tiers of Protection which are:

1. Corporate Refund Undertaking
2. Non Performance Penalty

Closing Process

Step 1: Application. Complete and return the Standby Letter of Credit (SBLC) Application and Pay the $185 USD Application fee.

Step 2: Issuing of Draft. We will then create a draft of the Standby Letter of Credit (SBLC) for you and your supplier to review.

Step 3: Draft Review and Opening Payment.
a) Once you and your supplier finalize the draft and sign off your acceptance of the draft (changes are free of cost).
b) We then issue you with an Invoice for the Standby Letter of Credit (SBLC), which you arrange to pay.
c) Upon receipt of your wire payment, we release the finalized Standby Letter of Credit (SBLC) to the bank for issuance and delivery.

Step 4: Issuance. Typically, the bank will issue the Standby Letter of Credit (SBLC) within 48 hours of release. Upon issuance, we email you a copy of the SBLC as transmitted by SWIFT, including the SBLC reference number. Your supplier’s bank should receive and confirm the Standby Letter of Credit (SBLC) transmission shortly thereafter.

Step 5: Presentation of Documents. Once the supplier has prepared and loaded the goods for transit, they must present the specified documents for that shipment to their bank. Their bank will transmit these documents to our bank. We will email you copies of the presentation (and all documents submitted by the supplier) for your review and approval.

Step 6: Payment for Goods. Before our bank releases the original documents, we must receive payment for the presentation. Upon receipt of payment, we consign the documents to you and overnight them to your freight forwarder or whomever you designate – thus completing the transaction.

Documents Required:

1. Download the Standby Letter of Credit (SBLC) Application Below
2. Complete all pages of the Standby Letter of Credit (SBLC) Application and email it to: Admin@SecurePlatformFunding.com

Critical Compliance Criteria:

• Accepted Criteria: Clients that comply with our required Client Standards and accurately and correctly complete the Standby Letter of Credit (SBLC) Application.
• Rejected Criteria:

1. Any Standby Letter of Credit (SBLC) that is required to be delivered to a Provider on this Banned Providers List.
2. Any Standby Letter of Credit (SBLC) application where the client cannot or does not want to pay the required Deposit.
3. Standby Letter of Credit (SBLC) required for a clients in Austria.

Critical Information:

1. Our Standby Letter of Credit (SBLC) delivery service is Non Negotiable. We do not change the terms, structure, delivery procedures or prices of this service.
2. We no not offer FREE Standby Letter of Credits (SBLC) or allow clients to pay for the Standby Letter of Credit (SBLC) after they have received it. If the Bank is not paid to send the Standby Letter of Credit (SBLC), then no Standby Letter of Credit (SBLC) will ever be sent or delivered. Banks simply do not work for free or on the hope that after they deliver a Standby Letter of Credit (SBLC) that the client may pay them.

Client Standards:

finanscredit group requires clients meet key standards and pass compliance in order for us to consider working with them. We do not accept all clients because doing business with Secure Platform Funding is a unique Privilege given solely to real, genuine, authentic clients, not a Right that is attainable by all. View our required Client Standards here.

Summary:

We solely deal with real deals, real people and real Standby Letter of Credit (SBLC) that need to be delivered to our clients nominated bank account. The Bank SWIFT Network is the Gold Standard that validates all aspects of this transaction and provides a respected industry platform where a safe settlement can be facilitated. Close your successful Standby Letter of Credit (SBLC) transaction with finanscredit group today.