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How many types of payment terms are in export business?

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Question added by MOHD. MUDASSAR
Date Posted: 2016/07/30
NOOR UL  HASSAN
by NOOR UL HASSAN , Senior Accountant , Gulam Faruque Group (Greaves Pakistan Pvt. Ltd.).

\ There are following Payment Terms of in Export Business, that are following: Open Account Documentary collection Letter of Credit Cash in Advance Consignment

GOHAR idrees
by GOHAR idrees , Finance Manager , Beyond green solar solutions

Open account payment in International Trade, the buyer receives the goods shipped by the exporter and then makes the payment at the end of an agreed credit period. The credit period can be a fixed duration – 30 days, 60 days, 90 days, etc

CA Kalpit Mehta
by CA Kalpit Mehta , Proprietor , K S MEHTA AND ASSOCIATES

2 TYPES- FOB: FREE ON BOARD AND CIF: Cost, insurance, and freight

Nadjib RABAHI
by Nadjib RABAHI , Freelancer , My own account

The supplier credit : this formula is for the supplier to grant payment delays to the buyer and to replenish its cash with its own bank.

The buyer credit: the main characteristic of the buyer credit  is the existence of two contracts: the commercial contract and the credit agreement

The accompanying financial credits

Financial credits non linked, or dry credits

 

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