letter of credit (Meaning)
Wordnet
letter of credit (n)
a document issued by a bank that guarantees the payment of a customer's draft; substitutes the bank's credit for the customer's credit
Synonyms & Antonyms of letter of credit
No Synonyms and anytonyms found
letter of credit Sentence Examples
- The importer established a letter of credit to guarantee payment to the exporter.
- The bank confirmed the letter of credit, providing assurance to the seller.
- The letter of credit specified the terms of payment, including the amount and currency.
- The exporter submitted a draft accompanied by the required documents under the letter of credit.
- The bank paid the exporter once the documents were verified and met the conditions of the letter of credit.
- The letter of credit provided a secure and reliable method of payment for both parties.
- The issuance of a letter of credit helped mitigate the risks associated with international trade.
- The bank charged a fee for issuing and handling the letter of credit.
- The exporter included a packing list in the documents presented under the letter of credit.
- The letter of credit was valid for a specified period and could be extended if necessary.
FAQs About the word letter of credit
a document issued by a bank that guarantees the payment of a customer's draft; substitutes the bank's credit for the customer's credit
No synonyms found.
No antonyms found.
The importer established a letter of credit to guarantee payment to the exporter.
The bank confirmed the letter of credit, providing assurance to the seller.
The letter of credit specified the terms of payment, including the amount and currency.
The exporter submitted a draft accompanied by the required documents under the letter of credit.
