Letter of Credit - Trade Finance Services
Letter of Credit
Securely receive your goods before you (agree to) Pay.
Letter of Credit from Riyad Bank facilitates your purchase from your suppliers (locally and internationally) at better credit terms. Import Letter of Credit is a commitment given by the Issuing Bank to pay the Beneficiary on presentation of complying documents. The Import Letter of Credit sets out the documents to be provided and the conditions to be met.
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Payment for goods against documents stipulated in the LC
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Possible to avail supplier’s credit by issuing deferred LCs
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Option to avail LC Refinancing, if the limits are available with Riyad Bank
More Information
Riyad Bank’s Letter of Credit is an agreement, promising to pay for the purchases/imports on your behalf against the submission of satisfactory documents and the meeting of specific terms by the supplier.
A Letter of Credit will give supplier the required security for finance under the terms agreed, meaning you can delay the payment for goods until after they are shipped and compliant evidence is provided by the seller.
Riyad Bank can also offer to issue a Guarantee to the Shipping companies that allow you to take delivery of the goods at destination ports supplied against our Letter of Credit, for which the documents have not yet been submitted to us.
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Riyad Bank LCs are widely accepted worldwide making it easier for the exporter to avail pre or post shipment finance from their Bank
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You are more likely to receive timely delivery of goods because of the delivery timeline stipulated within the Letter of Credit
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Possible to enter deals with new suppliers at competitive terms
All LC Facility customers are eligible to apply for a Letter of Credit and the LC Facility can be arranged by our Corporate Banking Relationship team.
In the absence of credit/account history we may also consider issuance with an appropriate Cash margin.
To apply please approach any one of our Trade Finance Centers or call us directly on:
- Central region: +966-11-4865652 or +966-11-4865629
- Western region: +966-12-2609060 or +966-12-2609094 or +966-12-2609035
- Eastern region: +966-13-8335733 (Ext: 8539 or Ext: 8540)
Apply Online - Letter of Credit
Letter of Credit from Riyad Bank facilitates your purchase from your suppliers (locally and internationally) at better credit terms. Import Letter of Credit is a commitment given by the Issuing Bank to pay the Beneficiary on presentation of complying documents. The Import Letter of Credit sets out the documents to be provided and the conditions to be met.