USA Money

Re: [spiers] USA Money

Joseph,

Sorry about the delay in reply...

The letter of credit process is simple, bring in the desired amount to transfer,
say $5000 to a
larger bank like Wells Fargo, and they will "open" a letter of credit on your
behalf with the
supplier you name as beneficiary. And yes, banks do this for a fee, say $125
minimum
charge and 1/4 % fee,

What is becoming far more common is to simply pay by credit card. See if your
supplier will
accept a credit card, and if so, check with your credit card company if they
will back you up if
there are any problems. They may say no, which means you can still use the
card, it just
menas you cannot make the credit card company sort out any disputes if any
arises. In int'l
trade, sometimes the banks will, sometimes not.

With letters of credit banks will never sort out any disputes.

John
>
> John,
> How doyou do a letterof credit? Will a bank facilitate one for a fee?
>
> Joseph Gulotta
>

Bookmark this post --- Email this post