Documentary Credits
A documentary credit is a pledge issued by Al-Yaqeen Bank to open a credit based on the request of one of its importing customers (buyer). In it, Al-Yaqeen Bank guarantees payment of an amount or authorizes another bank to pay or accept withdrawals in favor of the beneficiary, who is the exporter (supplier), in exchange for receiving documents that meet the agreed upon conditions and stated in the credit.
Service features:
Payment Guarantee
Al Yaqeen Bank guarantees the exporter to receive the value of the exported goods once he fulfills the conditions stated in the documentary credit.
Delivery Guarantee
Al Yaqeen Bank guarantees the importer that the bank opening the credit will not pay the value of the goods until it is sure that the agreed conditions have been fulfilled.
Mutual Trust
Documentary credits enhance trust between the importer and the exporter, which contributes to facilitating international trade transactions.
Safety and Ease
Documentary credits from Al Yaqeen Bank provide safe and reliable solutions, which reduce risks and facilitate the trade exchange process
The credit is opened by submitting an official request to the bank that includes the details of the transaction and the required documents.
Yes, documentary credits can be used in various types of international trade.
Documents include invoices, bills of lading, and quality certificates, according to the agreed terms.
Fees can include opening the credit costs, bank fees, and documentary processing fees, which vary by bank.