When you use our Export Documentary Collections service you’re assured that you’ll receive payment for goods you export. We ensure that your buyer takes delivery of goods you sold only when documents of title have been released by their bank.

It’s simple and safe

You’re assured that you receive payment for goods you export.

It’s convenient

Documents and payments are handled on your behalf.

Improves cash flow

It’s a cost-effective way to trade internationally.

What you need to know and how to get it

Benefits
  • It’s a simple operation
  • It improves cash flow
  • Customers using an Export Collection where the bill has been guaranteed may request us to discount the bill before due date
  • It is convenient – has no impact on the client’s credit facilities
  • Reduces the risk of losing the title to the goods before receiving payment for goods shipped on a bill of lading (a detailed list/receipt of goods being exported)
     
How it works
  • Export Documentary Collection operates as follows:
    • The exporter sends documents that allow access to the goods being imported (i.e. a bill of lading, certificate of origin, invoice) to their bank, along with a bill of exchange requesting payment according to the agreed terms
    • Payment is normally requested in one of two ways:
    • Immediately on presentation of the collection to the importing customer ('sight payment'), or
    • On an agreed future date ('term payment')
    • In the case of term payments, importing customers will be required to endorse the bill of exchange (ie. sign it, usually on the back) to indicate their acceptance of it before we release to them the documents allowing access to the goods.
  • Our Export Documentary Collections are governed by International Chamber of Commerce rules; this means that aspects such as responsibilities and liabilities are clearly defined and standardised worldwide
  • If the correspondent bank (collecting bank) has guaranteed payment of the bill of exchange we can discount the bill of exchange without affecting our client’s facilities. This allows them to improve their cash flow by receiving funds earlier than the due date. In this case, our risk is marked against the collecting bank.
  • Payments of any value may be collected in any freely traded currency
  • Payment can be received immediately on presentation of the documents to the buyer or on an agreed future date
  • Choice of delivery channels to use when originating the collection
How to get it

Email:

InternationalBankingservices@absa.co.za

 

Need more help?

Contact your nearest branch or your International Business Banking Specialist 

Email

InternationalBankingservices@absa.co.za