Letters of credit / POF messages
What are Comfort letters, proof of funds letters, etc? They are all some sort of statements from financial institutions, auditors, etc. confirming the financial data for the company in question. A Letter of credit is a guarantee of funds for the exporter of goods that as soon they have sent the goods, they can receive their payment..
What Is a Comfort Letter?
A comfort letter is a business document that is intended to assure the recipient that a financial or contractual obligation with another party can and will be met. The sender is often an independent auditor or accountant.
The comfort letter does not make a legally enforceable commitment but conveys the ability of the other party to fulfil the terms of the agreement under discussion.
A comfort letter is also known as a letter of intent or, in some cases, a solvency opinion.
What is POF message?
A proof of funds letter (POF) is a document that assists the seller in knowing that the buyer has cash funds available. It shows that these funds are not only legitimate but also obtainable.
What Is a Letter of Credit?
A letter of credit, or a credit letter, is a letter from a bank guaranteeing that a buyer’s payment to a seller will be received on time and for the correct amount. If the buyer is unable to make a payment on the purchase, the bank will be required to cover the full or remaining amount of the purchase. It may be offered as a facility (financial assistance that is essentially a loan).
What are the 4 types of letters of credit?
Types of letters of credit include commercial letters of credit, standby letters of credit, and revocable letters of credit. Other types of letters of credit are irrevocable letters of credit, revolving letters of credit, and red clause letters of credit.
Ready willing and able (RWA) messages
What is a ready willing and able letter (RWA)? It is a letter that demonstrates the intent and capability of our clients to enter into a financial business transaction both legally and financially.
We are widely recognized for our financial and Insurance services specially designed for bank guarantees (BGs); standby letters of credit (SBLCs); letters of credit (LCs); deferred/documentary letters of credit (DLCs), and (payment protection insurance) PPI/CPI insurance all these at your disposal at the lowest rates possible. Other financial instruments such as MTN, CD, DLC, PB are also available.
Do you need any of these instruments in your business, either to grow it, to secure supplies, or otherwise, we are here to help and assist you. contact us for more information.