Importing

Importing international goods carries its own set of risks. As a leader in international banking, HSBC can help with import letters of credit, import documentary collections, shipping guarantees or airway bill releases and import financing.

To discuss your international Trade and Supply Chain needs,

call us at 1-866-808-HSBC (4722)

or use our branch locator to find the HSBC branch in your neighbourhood.

Use the services of the bank to handle collection of your documents

Documentary collections generally are a cost-effective and common method of trading internationally. Documentary Collections are also simpler for the importer than documentary letters of credit as there are fewer formalities involved.

Under a documentary collection documents relating to the shipped goods are sent from the supplier’s bank to the importer’s bank and only released to the importer on certain conditions. This also allows the importer to review the shipping documents prior to making payment.

Key Benefits:

Convenience as there are fewer formalities involved compared to documentary credits
Reduced costs compared to documentary credits
Allows importer to review documents before releasing payment
Minimize risk of premature release of goods [benefit for supplier]
Does not require a formal line of credit
Avoids detailed requirements of opening a letter of credit
Bank tracks receipt of funds and follows up regularly, until payment is received

Key Features:

Generally payment and/or acceptance by buyer may be deferred until the goods arrive
Usually assists the supplier as goods are released only upon the payment or acceptance of draft by the importer
Bank charges are less than those charged for letters of credit
Subject to ICC international rules and regulations (URC 522)