Why do I need a Letter of Credit?

An exporter will usually choose to use this method of payment when selling goods to high-risk clients or markets. It is reported that more than 75% of documents are rejected on first presentations to banks. There can be multiple reasons for this:

• Late presentation of documents to the bank
• Delays in payment
• Discrepant documents and associated fees
• Too much time spent dealing with documentation
• Inconsistent service/information
• Ongoing training needs for staff in LC compliance

LCCI' s Letter of Credit service includes

• Checking of documentation to ensure that it complies with the terms of the credit
• Raising of documents such as invoices and packing lists, liaising with exporter and shipper every step of the way
• Downloading of LC directly from selected banks
• Arranging authentication and legalisation of documents if required, using our own in-house documentation service, including online certification
• Presenting documents (electronically where possible) to the bank and ensuring that payment has been made.

How much does a Letter of Credit cost?

Our prices start from £550 + VAT (LCCI Premier Plus Members); however the final price of your Letter of Credit will depend of different factors:

• The complexity of the shipment
• Number of presentations (i.e. part shipments, stage payments)
• If requierements for other trade documents (i.e. Certificates of Origin)
• The service level you require (Standard or Premium).

Other LCCI Services

We run a number of services at the Chamber which you may find useful for your business:

• Trade Documents
• EU Exit Hub
• Events and Training Courses
• Arbitration and Mediation
• Policy and Campaigning 
• Membership 
• International Trade Advisory Service
• Customs Procedures Consultancy Services
• Information Guide for UK Business Traders