How do you get pre shipment finance?
How do you get pre shipment finance?
- Eligibility. Pre shipment credit is only issued to that exporter who has the export order in his own name.
- Quantum of Finance.
- Appraisal and Sanction of Limits.
- Follow up of Packing Credit Advance.
- Liquidation of Packing Credit Advance.
- Overdue Packing.
- Packing Credit to Sub Supplier.
- Running Account facility.
What is pre shipment financing?
‘Pre-shipment / Packing Credit’ means any loan or advance granted or any other credit provided by a bank to an exporter for financing the purchase, processing, manufacturing or packing of goods prior to shipment / working capital expenses towards rendering of services on the basis of letter of credit opened in his …
Which document is required for granting pre shipment finance?
Copy of valid Registration-cum-Membership Certificate of the exporter himself or the export house/trading house. Appropriate policy or guarantee from Export Credit & Guarantee Corporation of India (ECGE). Any other document required by the bank.
What is the difference between pre shipment finance and post shipment finance?
Pre-shipment finance is a facility of extending working capital finance, to the exporter of the goods, in order to export them in another country. Post shipment finance is a form of the loan extended by the bank to the exporter against the shipment of goods which is already done.
What is the maximum period of pre-shipment advance?
Accordingly, the interest rate upto 180 days from the date of advance will be the rate applicable for usance bills for period upto 180 days….Master Circular – Rupee / Foreign Currency Export Credit and Customer Service To Exporters.
| CONTENTS | |
|---|---|
| Sr.No. | Particulars |
| 1 | Pre-shipment Rupee Export Credit |
How is Pcfc calculated?
RATE OF INTEREST: Interest rate on PCFC is based on ongoing LIBOR/ EURO LIBOR / EURIBOR for appropriate period at the time of the advance plus sanctioned spread.
Who is not eligible for packing credit?
Which of the following person is not eligible for packing credit? merchant exporter.
How is pre-shipment credit converted into post shipment credit?
Normally the packing credit / pre-shipment credit granted to an exporter is liquidated out of proceeds of bills drawn for the exported commodities on its purchase, discount etc., thereby converting pre-shipment credit into post-shipment credit.
What does pre-shipment means?
“Pre-shipment” means that your package has left our warehouse and is waiting to be scanned by USPS to begin its journey to you. Please allow up to 8 business days for your tracking information to update.