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Product Information

Description

1

Product Name

Letter of Credit

2

Types of Products

Others Services

3

Issuer Name

Bank SBI Indonesia

4

Main Feature

Documentary Credit issued by Bank SBI Indonesia (Issuing Bank), as the request of the applicants as an importer/buyer/applicant containing irrevocable Bank’s undertaking to pay some money to an exporter/seller/beneficiary if the Issuing Bank receives the documents as the required in the L/C.

5

Benefits

In addition to protecting the seller (Exporter), the function of a letter of credit can also protect the buyer (Importer). If the buyer fails to get the desired product or the seller fails to deliver the product, the buyer can receive payment using a standby letter of credit.

6

Risk

Failure to pay due to incomplete document requirements, the importer is required to bear additional costs beyond the price of the imported goods and requires a longer time to process the required documents.

7

Requirements & Procedures

The customer fills out and signs the Account Opening Application Form for L/C and Customer having  account and follows the terms & conditions applicable at Bank SBI Indonesia and submits Photocopies of KTP/Passport/SIM for Indonesian citizens and KITAS for foreigners,  NPWP. and the legality of the company You can submit questions and complaints through the nearest Branch Office and contact the Call Center number listed. Exporters or importers must carry out transaction activity agreements with proof of making a sale and purchase contract. The importer submits a LC to the Bank, the issuing Bank will submit the LC to the successor Bank accompanied by the required documents. The successor bank will hand over the LC to the exporter. Then the exporter can start sending the ordered goods to the importer and obtain proof of delivery. The proof of delivery is then returned to the successor bank so that the exporter can receive the payment. The successor bank will pay it to the exporter, if the documents are valid and meet the requirements. After the payment is complete, the successor bank submits proof of payment to the LC issuing bank.

8

Charges

Attached

9

Additional Information

Individual & Corporate Customers

10

Simulations and/or historical data, in terms of products and/or services that have funding , lending activities and/or fund management

N/A