国际结算 教学课件(5).doc

Chapter 5 Methods of Intl Settlement -CollectionCollection is an arrangement whereby the goods are shipped and a relevant bill of exchange is drawn by the seller on the buyer, and/or shipping documents are forwarded to the sellers bank with clear instructions for collection through one of its correspondent bank located in the domicile of the buyer.-Stand at the exporters side.Entrusted by the exporter, the bank, with the financial and commercial documents submitted by the exporter, collects payment from the importer via its foreign correspondent banks or sister-branches-Stand at the bankers side 1. Definition, parties and types of collection2. Procedure, advantages & disadvantages of collection3. Risks protection under collection 4. Collection in practice1. Definition, parties and types of collection(1)Definition: According to the definition given in the Uniform Rules for Collections (ICC Publication No.522), collection means the handing by banks, on instructions received, of documents, in order to:a. obtain acceptance and/or, as the case may be, payment;b.deliver commercial documents against acceptance or, as the case may be, against. c. deliver documents on other terms and conditions(2)Parties to the operation of collectionThe principal (seller/exporter/drawer)The remitting (principals /sellers /exporters ) bankThe collecting or presenting bankThe drawee (buyer/importer) Representative in case of need(3) Types of collectiona. Clean collection : It means collection of financial documents not accompanied by commercial documents. b. Documentary collection - Documents against payment D/P: D/P at sight; Acceptance D/P - Documents against acceptance D/A a. Typical Clean Items-Cheques-Dividend warrants drawn on foreign banks-Promissory note-Clean drafts-Acceptances-Certificates of deposit issued by foreign banks-Saving passbook issued by foreign banks, governments, and post offices-Draft drawn under a travelers letter of credit from a foreign bankHow to handle clean collection operation? Why is clean collection beneficial for the importer bring to the payee?(1) Safety To collect payment directly from the payer by mail may generate unexpected risk. such risk can be avoided if the collection made through international bank network , which is safer. (2)Convenience International bank network can help the payee to collect payment from all over the world handily. (3) Swiftness If “cash letter” agreement has been signed between collection banks, the time of payment can be greatly shorten and the service becomes quite convenience and swift.(4)Low charge The charge for clean collection is relatively cheaper.When to choose clean collection?-For small amount of payment under the trade and non-trade item.-For foreign currency cash (including damaged cash) not exchangeable in china. -For collection business for valuable vouchers such as foreign exchange check, foreign bond, deposit receipt etc. -Transactions in which it is impossible or inconvenient to provide commercial documents, such as sending samples, high-tech products (software etc.) transaction, seasonal commodity transaction, and intangible trades like service and technology transfer. b. Documentary collection: Documentary collection is a payment mechanism that allows the exporters to retain ownership of the goods until they receive payment or are reasonably certain that they will receive it.Banks role in documentary collection:Acting as the exporters agent, regulates the timing and sequence of the exchange of goods for value by holding the title documents until the importer either pays the draft or accepts the obligations to do so.2. Procedure, outward and inward collection(1) Procedures for D/P & D/A; (2) Advantages & Disadvantages of collection(3)Outward collection (4)Inward collection: Outward & inward collection is classified by the operationally banks.Exporter/drawerImporter/DrawerRemitting bankCollecting/presenting bankSales contract1.Goods2.Documents, Drafts Instructions6.Payment (Credit)3.Documents, Drafts, Collection order5.Payment 4(a).Payment (Debit)4(b).DocumentsProcedure for payment against documents (2) Advantages & Disadvantages of collectiona. D/P: Advantages: This type of collection offers the greater security to the exporter than O/A. Precautions: In practice, the buyers prefer to postpone the takeover of the documents and the payments until after the arrival of the goods. So, a clear term ”Payment on first presentation of the documents” should be included in the collection order.The seller should better select D/P at sight instead of Acceptance D/P.出口托收申请书LETTER OF INSTRUCTION FOR OUTWARD COLLECTION Our reference numberFor all communicationsPlease always quoteOffice: Address: Date:Telex: Fax: Dear Sirs, We enclose the following documents for collection.Documentary Collection Clean CollectionTo (Collecting Bank)：Drawer：Drawee：Amount：Docu-mentsDraft(s)Com-mercialInvoiceOceanB/LN/NOceanB/LAir-wayBillIns.PolicyP/WListCert.OfOriginG.S.PFormABenefi-CiarysCert Disposal of proceeds upon collection:Collection Instructions are marked with “X” as below: Deliver documents against Payment Acceptance All your banking charges are for account of Drawer Drawee Waive banking charges and/or interest if refused by Drawee. Do not waive banking charges and / or interest. Advise us acceptance of draft (s) and giving due date by teletransmission. Hold draft(s) and documents pending further instructions from us in case of non-payment /non-acceptance.In case of dishonor, have the goods stored in bond and insured against usual risks when deemed necessary, and advice us immediately to that effect.If payment is delayed collect interest at _% p. a. for the period of such delay.In case of need, refer to . For _ AUTHORIZED SIGNATURE(S)托收委托书COLLECTION ORDER ORIGINALOur reference numberFor all communications5(b). Payment(credit)Please always quoteOffice:Address: Date:_Telex:Fax:4(b). DocumentsDear Sirs, we enclose the following documents for collection.Documentary Collection Clean Collection To (Collecting Bank)：Drawer：Drawee：Amount：Docu-mentsDraft(s)Com-mercialInvoiceOceanB/LN/NOceanB/LAir-wayBillIns.PolicyP/WListCert.OfOriginG.S.PFormABenefi-CiarysCert Disposal of proceeds upon collection:Collection Instructions are marked with “X” as below: Deliver documents against Payment Acceptance All your banking charges are for account of Drawer Drawee Waive banking charges and/or interest if refused by Drawee. Do not waive banking charges and / or interest. Advise us acceptance of draft (s) and giving due date by teletransmission. Hold draft(s) and documents pending further instructions from us in case of non-payment /non-acceptance.In case of dishonor, have the goods stored in bond and insured against usual risks when deemed necessary, and advice us immediately to that effect.If payment is delayed collect interest at _% p. a. for the period of such delay.In case of need, refer to . For _ AUTHORIZED SIGNATURE(S)b. D/AAdvantages to the buyer: After acceptance, the buyer gains possession of the goods before payment is made and is able to dispose of the goods he wishes.Disadvantages to the seller: However, the seller bears the risk of the buyers non-payment. If the seller intends to have the shipping documents released against acceptance, he must be sure that the buyer will be in a position to pay the time bill at maturity because he will lose control of the goods and rely on the creditworthiness and integrity of his overseas customer to pay on due date. Precautions for the seller: The draft is held by the collecting bank and presented to the buyer for payment at maturity, after which the collecting bank sends the funds to the remitting bank, which in turn sends them to the principal/seller. The seller should be aware that he gives up title to the shipment in exchange for the acceptance of the bill of exchange that not represents his only security in the transaction.3.Documents, drafts andcollection order6.PaymentExporter/DrawerCollecting/PresentingBankImporter/Drawee4(a).Accepts draftRemitting Bank1.Goods5(a).TradeAcceptance*4(a). Trade acceptance7. Payment(credit)Sales comtractProcedure for payment against acceptance2.Documents, drafts and instructionsComment on D/P & D/A(1) Collection gives the buyer time to pay for the shipment but gives the seller security that title to the shipment will not be handed over until payment or acceptance has been made.(2)If the buyer refuses to accept the bill or does not honor payment at maturity, the exporter will have time to take appropriate measures or possibly to look for another customer for the goods.(3) D/A is seldom used in actual practice, while acceptance D/P is not better than D/A. 3. Risks protection under collection (1) Risks involved: Risks for the exporter; Risks for the importer(2) Risks protectionRisks for the exportera. Acceptance risks -non-acceptance of merchandiseb Credit risk of the importer-non-payment of trade acceptancec. Political risks of the importers country-possession of goods due to local regulationd. Foreign exchange transfer risk -Exchange restrictionse. Documentary risk that the shipment may fail to clear customs.Non-acceptance risks caused reasons & losses-Refusal on some, small, inadvertent infraction of the sales contract-A signification drop in the market price incurring a heavy storage charge, demurrage and a greatly reduced price in a market.-Taking court action or arbitrage, while in most cases, not a satisfactory solution due to the expenses and time delay involved.How to decrease losses? To ask for assistance in arranging for storage and insurance at the port of destination, then finding an alternate buyer for the goods, while asubstancial discount is still required in most cases.Risks for the importer-The goods shipped may not be as ordered-Payment may have to be made prior to the arrival of the goods-Depends on the exporters credit standing-Two separate legal liabilities: On the bill of exchange, On the sales contract-Ruin the reputation of a trade and may be considered an act of bankruptcy if a bill of exchang