Trade services

Documentary collection

Documentary collection

Settling trade transactions

Documentary collection

Settling trade transactions

Documentary collection is recommended for:

  • companies specializing in local or foreign trade
  • suppliers/exporters and recipients/payers

Documentary collection is used as a form of settlements of local or foreign trade transactions.


The most important features of the product

  • documentary collection is recommended in order to make payment in favour of the supplier/exporter (drawer) for commercial documents confirming the correct delivery of goods/services
  • documentary collection is instructed by the supplier/exporter (drawer) by sending commercial documents together with a collection instruction r to the drawee’s bank
  • the drawee may receive documents if the conditions of their delivery are met
  • decision to make payment for documents is made by the recipient of goods/services (payer/drawee)
  • documentary collection protects:
    • the supplier, who controls shipped goods until the documents are released to the payer
    • the payer – the type and contents of commercial documents confirm the existence and shipment of goods and certificates confirm those characteristics of goods which the payer considers vital

Are you interested in our offer?

Please contact your Relationship Manager. Detailed information can be also obtained from:

Małgorzata Samson
+48 (22) 657 79 72

The cost of the call depends on your local service provider.

Benefits

Documentary collection as settlement
  • Supplier will receive the amount due for commercial documents after it is collected from the payer
  • Payment is made in term specified by the supplier in his instruction: after submitting of documents (“at sight”) or on a deferred payment term
Documentary collection as mitigator of trade transaction risks
  • Drawer keeps goods under control until commercial documents are released to the payer
  • Commercial documents will only be released to the payer after he meets the conditions of collection specified by the supplier
  • Drawerr enjoys a higher probability that he will receive payment for delivered goods (as compared with non-conditional payment methods)
  • Simplified procedure of enforcement of receivables due from the payer when in documentary collection occurring also bills of exchange/promissory notes in which the payer is the debtor
  • Drawer may demand for additional payment security in the form of a bill’s payment guarantee (aval of the drawee’s bank)
  • Properly defined documents which should be submitted by the supplier for collection:
    • confirm the existence and shipment of goods to the payer
    • ensure that appropriate goods (i.e. having required characteristics, volumes, quality and delivery dates) will be delivered

Additional information

We recommend our Clients (both exporters and importers) that before choosing documentary collection as settlement of transaction they should read the "Uniform Rules for Collections,” published by the International Chamber of Commerce as publication URC 522.


Downloads

Below you will find requests / orders in pdf

Import collection