循环信用证.pptVIP

Revolving credit循环信用证 What is a Revolving Credit？ Revolving credit is a type of credit that does not have a fixed number of payments, in contrast to installment credit. Examples of revolving credits used by consumers include credit cards. Corporate revolving credit facilities are typically used to provide liquidity for a companys day-to-day operations. They were first introduced by the Stawbridge and Clothier Department Store。 循环信用证 是指信用证被受益人全部或部分使用后，又恢复到原金额，再被受益人继续使用，直至用完规定的使用次数或累计总金额为止的信用证。它与一般信用证的不同之处在于它可以多次循环使用，而一般信用证在使用后告失效。 　 Revolving credit may be revocable or irrevocable，and may revolving credit permits repeated drawings by the beneficiary within a specified amount and period. 循环信用证主要是用于长期或较长期内分批交货的供货合同。使用这种信用证，买方可节省开证押金和逐单开证的手续及费用，卖方也避免了等证、催证、审证的麻烦，因而有利于买卖双方业务的开展。 Typical characteristics Case study is required The borrower may use or withdraw funds up to a pre-approved credit limit. The amount of available credit decreases and increases as funds are borrowed and then repaid. The credit may be used repeatedly. The borrower makes payments based only on the amount theyve actually used or withdrawn, plus interest. The borrower may repay over time (subject to any minimum payment requirement), or in full at any time. In some cases, the borrower is required to pay a fee to the lender for any money that is undrawn on the revolver; this is especially true of corporate bank loan revolving credit facilities. How to use Revolving credit Revolving credit is one of the most common methods of making purchases, and it is a great way to build up ones credit history. Making payments on time, and paying on the debts owed, as well as holding a line of credit for many years, are all good ways to improve a credit score. Of course, if the entire balance of the line of credit is not paid off each month, interest will be charged. This interest can vary based on ones credit score and payment history, and can get quite expensive, so be sure to read all the fine print befo