国际贸易实务双语教程Chapter 6 Internatonal Payment and Settlement.ppt

6.2 Remittance The Involved Parties Remitter Payee Remitting Bank Paying Bank 6.2 Remittance Classification Mail Transfer, M/T Telegraphic Transfer, T/T Remittance by Banker’s Demand Draft，D/D The Usage of the Remittance -- Cash on Delivery, COD -- Payment in Advance Conception of Collection The Involved Parties Types The Property, Advantages and Disadvantages The Rules of Uniform Rules for Collections 522 (URC522) Remarks for Collection 6.3 Collection 6.3 Collection Conception of Collection Definition Nature of Collection Procedure of Documentary Collection 6.3 Collection Conception of Collection Definition Collection is an arrangement whereby the seller draws a draft on the buyer and authorizes its bank to collect. 6.3 Collection Conception of Collection Definition from ICC (the International Chamber of Commerce) The collection is the handling by banks, on instructions received, of documents (financial documents and/or commercial documents), in order to: a. obtain acceptance and/or, as the case may be, payment, or b. deliver commercial documents against acceptance and /or, as the case may be, against payment, or c. deliver documents on other terms and conditions. 6.3 Collection Conception of Collection Nature of Collection Collection is a kind of commercial credit, offered to each other by firms and merchants. The collection bank acts only as collector of funds on behalf of the seller and is not committed to the obligation whether the buyer makes payment or not. It is dependent on the commercial credit of the buyer if the seller will be paid after the delivery of goods. Therefore, a collection transaction puts the seller under a great risk. 6.3 Collection Conception of Collection Procedure of Documentary Collection The buyer and the seller conclude the sales contract, stipulating the payment is