LETTERS OF CREDIT
Because we know that trust between buyer and seller is fundamental, at Intercam we put our Commercial Letters of Credit at your disposal to carry out domestic and international transactions for the purchase of goods or services and our Letters of Guarantee (Standby and Demand Guarantee) to ensure the compliance with contractual, commercial or financial obligations.
Domestic Letters of Credit
Irrevocable payment undertaking, granted and issued directly by Intercam to Mexican suppliers covering their domestic sales.
Benefits
- Provides a secure means of payment by demanding presentation of required documents to carry out the trade of goods or services
- Possibility to obtain better purchase conditions, including the term to pay the supplier
Requirements
- Be an existing Intercam Client
- Have an authorized line of credit to issue Letters of Credit. If you do not have a line of credit yet and require the issuance of a Letter of Credit in a timely manner, we can assist you by providing and issuing a Letter of Credit under the Total Provision of Funds Scheme (Letters of Credit Collateralization)
Import Letters of Credit
Irrevocable payment undertaking that has international acceptance which mitigates the risks involved in carrying out cross–border commercial transactions
Benefits
- Provides a secure means of payment by requiring the presentation of documents to carry out the importation of goods or services
- Possibility to obtain better purchase conditions, including the term to pay the supplier
- Access to international markets thanks to our correspondent banking network.
Requirements
- Be an existing Intercam Client
- Have an authorized line of credit to issue Letters of Credit. If you do not have a line of credit yet and require the issuance of a Letter of Credit in a timely fashion, we can assist you by providing and issuing a Letter of Credit under the Total Provision of Funds Scheme (Letters of Credit Collateralization
Letters of Guarantee (Standby Letters of Credit or Demand Guarantees)
As a key banking instrument, it is an undertaking of a bank that guarantees compliance of terms and conditions, ensuring payment in the event of non–performance of contractual, commercial or financial obligations.
Benefits
The Standby Letters of Credit establish and make certain:
- The execution of a contract is undergone if the applicant is awarded a bid (Bid Bond Standby) or performance of the underlying transaction (Performance Standby) under a public tender process.
- The obligation to account for an advance payment is made by the beneficiary to the applicant. (Advance Payment Standby)
- The payment for goods or services is undergone in the event of breach of the underlying contract (Commercial Standby)
- The Compliance and fulfillment of financial obligations (Financial Standby)
Requirements
- Be an existing Intercam Client
- Have an authorized line of credit to issue Letters of Credit. If you do not have a line of credit yet and require the issuance of a Letter of Credit in a timely fashion, we can assist you by providing and issuing a Letter of Credit under the Total Provision of Funds Scheme (Letters of Credit Collateralization)
Letters of Credit under the Total Provision of Funds Scheme (Letter of Credit Collateralization)
Even if you do not have a line of credit, Intercam can aid you in issuing Commercial Letters of Credit to carry out domestic and international transactions for the purchase and sale of goods or services or the issuance of Guarantee Letters of Credit (Standby Letters of Credit and Demand Guarantees), by providing the full amount of the Letter of Credit.
Benefits
- They allow newly created companies (start–ups), which do not have the pertaining financial information to obtain a line of credit, apply to this type of banking instruments.
- Competitive commissions
Requirements
- Be an existing Intercam Client
- Deposit in your checking account the full amount of the transaction, including the corresponding commissions
- Submit an Issuance Application, containing the terms and conditions of the transaction
Commercial Export Letters of Credit
Irrevocable payment undertaking with international acceptance which mitigates the risks involved in carrying out cross–border commercial transactions
Benefits
- Provides a secure means of payment by requesting the presentation of required documents to carry out the export of goods or services
- Possibility of obtaining better sale conditions, including the term to receive payment for sales made to foreign markets
- It is not necessary for the beneficiary to currently be an active Intercam Client
