chapt教材er 3 remittance.ppt

Chapter 3 Remittance Lecturer: Wu Ting-ting 3.1 Outline of Remittance 3.2 Procedure for Remittance 3.3 Application of Remittance 3.1 Outline of Remittance 3.1.1 Definition of Remittance 3.1.2 Parties to a Remittance 3.1.3 Types of Remittance 3.1.4 Characteristics of Remittance Definition: “International exchange” refers to operational activities related with the currency conversion and funds transfer between countries in order to settle the claims and debts by payment instruments through banks. In broad sense--international settlement In narrow sense--international bank remittance Types: ① Reverse remittance ② Remittance Definition: A bank（remitting bank）, at request of its customer, transfers a certain sum of money to its overseas branch or correspondent bank（paying bank）, instructing it to pay a named person domiciled in that country. In a word, remittance refers to funds transfer from one party to another. Two kinds: domestic remittance and international remittance (1)Remitter (importer/payer) Remittance application Submit the same amount of funds and commission. (2)Beneficiary (exporter/payee) (3) Remitting bank(汇出行)： Payment order (P.O.) （支付授权书)should be made out as instructed in the application and indicate the reimbursement of remittance cover. Outward remittance (4) Paying bank(汇入行或解付行)： Pay in strict compliance with the P.O. and authenticate the relevant signature or test key. Usually paying after its receipt of the funds from the remitting bank. Inward remittance Based on the manner by which the payment instruction is transmitted: M/T Remittance by means of sending/posting a payment instruction T/T Remittance by cable / telex / SWIFT D/D The remitting bank, at the request of the remitter, draws a bill of exchange on the paying bank, ordering the latter to pay on demand a certain sum of money to the beneficiary (the payee of the draft). 3.1.4 Characteristics of Remitt