If payment is to be made after the lapse of a particular time period as stated in the draft then it is referred as the Term Letter of Credit.
Under a Confirmed Letter of Credit, a bank, called the Confirming Bank, adds its commitment to that of the issuing bank. By adding its commitment, the Confirming Bank takes the responsibility of claim under the letter of credit, assuming all terms and conditions of the letter of credit are met.
Table of Contents
Chapter 1 Starting Export Introduction