Universal instruments on foreign-trade funding
PrivatBank offers services to importers that allow them to avoid 100-percent prepayment to their suppliers and to get access to inexpensive financing in the short, medium and long term. The cost of this funding is much lower than standard interest rates in Ukrainian banks, due to the possibility of raising the funds at foreign banks interested in supporting their client-exporters.
Benefits for importers
- You need not spend your working capital.
- Access to low-cost financing.
- Opportunity to work with suppliers on more favorable terms of merchandise deliveries, and at lower prices.
- It eliminates the risk that the supplier will not ship goods after your payment on the contract.
Benefits for foreign suppliers
- Guaranteed payments for shipped goods.
- Increase in supply amounts.
- Enlargement of customer range due to more beneficial delivery and payment terms.
General terms on post-import financing
|Period||from several months to one year|
|Maximum amount||100% of the total contractual amount|
|Contractual amount||USD 100,000.00 and more|
|Currency||any free-convertible currency|
|Repayment schedule||at the end of the contract, including accrued interest|
|Groups of goods||any goods|
|Cost of funds||is determined individually and depend on the current rate of Libor / Euribor *, the client's cover, history of cooperation. |
* Euribor/Libor rate is the interest rate traded on the European and London inter-bank deposit markets in EUR or USD, respectively
Benefits from partaking trade finance tools
- Wider opportunities for trade crediting from contractors, as well as improved commercial lending options due to the risks to your company being replaced by the bank's liabilities.
- Importer financing through letters of credit and guarantee instruments is processed on a resource-free basis that greatly reduces its cost.
- Letters of credit and guarantee instruments include various additional requirements to suppliers (terms of shipment, requirements for supporting documents, etc.) and this allows for better organistion and planning of deliveries.
- This reduces risks of misconduct from your counterparties, that in the case of external financing import operations, eliminates the risk of your credit rating deterioration through the fault of your counterparties.
Thus, financial services and import operations through letters of credit and guarantee instruments provides you both a direct benefit in the form of lower financing costs and a number of additional benefits that may also be helpful to your company.
Advantages of international trade financing with PrivatBank
PrivatBank is the leader Ukrainian bank with impeccable credit history with foreign banks having 20 years of experience in the market of documentary services.
PrivatBank experts will promptly provide you with skilled assistance:
- on compiling contracts with documentary payment forms;
- elaboration of individual payment schemes through documentary instruments;
- on drawing up all necessary documents;
- on devising non-standard documentary operations.
For advice on international documentary instruments, contact the specialists of PrivatBank Head Office via e-mail firstname.lastname@example.org
All collections are to be forwarded to below address:
JSC CB 'PRIVATBANK',
30 NABEREZHNAYA POBEDY STR., OFFICE 740,
49094 DNEPROPETROVSK, UKRAINE
ATTN: TRADE FINANCE DEPT.
We assume no responsibility for documents sent to any other address unless it is agreed with us by SWIFT.