Citi® supports every aspect of the documentary trade transaction, from issuing, advising, amending, confirming and paying letters of credit, to the settlement and administration of documentary collections. Our objective is to help you speed-up predominantly manual trade processes using leading-edge technology and our broad range of trade services.
Trade services transactions can now be requested via our on-line banking platform CitiDirect®. For more information, click on link 'Trade Services via CitiDirect'.
Working on your behalf throughout the world, Citi's efficient import collection services assure prompt payment to your supplier's bank. Due to our expansive presence and recognized expertise in international trade, Citi is a world leader in trade services. This increases the likelihood that we are acting for both importer and exporter in a trade transaction. Our multiple involvement helps expedite processing so that imports can be released to you more swiftly.
Citi's services offer you the flexibility of multicurrency import collections. This means that wherever you source your goods, Citi can settle payments promptly in the local currency, if you prefer. In short, Citi can help your company to further streamline import collections and provide you with easy reconcilement and administration.
Citi Direct Export Collections offer an alternative to letters of credit for the administration of commercial trade transactions. However, while they do help safeguard the exporter's title to goods until payment has been received, unlike letters of credit, all credit and country risk remains with the exporter and there is no engagement by the bank to cover these risks. For this reason, direct export collections are less costly than letters of credit and, where the exporter is comfortable with these risks, they offer a practical and efficient solution. From wherever they originate, your transaction proceeds are remitted to your account within 24 hours of receipt, giving you the benefit of your funds at the earliest possible moment.
Because Citi's on-the-ground branch network spans over 100 countries and deals with over 3,000 correspondents, communications are more efficient and payments can be faster. Wherever you wish to conduct trade you are supported by our knowledge of local trade practices and global expertise.
By centralizing your export letters of credit through a single bank, your administrative efficiency is enhanced. You can receive reports on outstanding transactions, shorten payment cycles and benefit from Citi's expertise and established relationships in local markets globally.
Citi issues letters of credit on behalf of thousands of companies world-wide, enabling shipments to take place and allowing commercial trade transactions to proceed swiftly and efficiently. Citi Import Letters of Credit Services offer a range of options from the efficient management of paper-based requests for letters of credit to a comprehensive service that enables you to initiate letters of credit electronically via our corner stone web based product, CitiDirect.
Citi Import Letters of Credit support your business relationships with your suppliers around the world, assuring payment to the beneficiary (the exporter) upon presentation of conforming trade documents specified by you in the text of the letter of credit. Both parties can also benefit from using the letter of credit as a means to access our range of international trade financing capabilities.
The breadth of Citi's on-the-ground presence in over 100 countries, coupled with the scale of our trade organization, means that we often act for both importer and exporter in the same transaction. This multiple involvement means we handle all documentation, providing importers and exporters with an efficient service. Citi offers flexible services, handling all or any part of the Import Letter of Credit process.
Citi's broad experience in regional markets and their different trading practices, means that we can review the terms of the letter of credit application, and advise you of any potential issues prior to issuance. We will examine the documents presented for payment for compliance with the letter of credit terms. Counterparty risk is minimized because funds are released only when your seller's documentation is in order.
If you would like to understand more about Citi's Letter of Credit Services please contact your local Citi representative.
Citi is a leader in the issuance of Standby Letters of Credit. These instruments can be used for a variety of transactions, including bid and performance guarantees and other financial guarantees. See above for further details