Essex Chambers

Tel: 01206 765277 E-mail: enquiries@essexchambers.co.uk

Using Documentary Letters of Credit, Drafts and Bills

CO1 1WD

19th June 2012, 08.45 - 17.00

Venue details:
Essex Chambers of Commerce
8/9 St Peters Court
Colchester
CO1 1WD

Continuous Professional Development

This course is graded as entry level and would qualify for 10 Continuous Professional Development points. If required, the CPD certificate will be issued by the Institute of Export at an additional cost.

Seminar Description
The use of Letters of Credit has increased significantly by UK exporters and importers because of the global economic situation, political insecurity in some markets and the withdrawal of credit insurance cover.

The UK Government has now introduced The Letter of Credit Guarantee Scheme. The intention is to stimulate exports to emerging markets by sharing the credit risk associated with Letters of Credit from these markets. This should contribute to a further increase in usage.

The major international banks report that between 60% and 70% of documentary submissions by exporters are rejected on first presentation because of non compliance with the conditions of the credit.

We believe that the main causes of rejection are a lack of understanding of the underlying principles of a documentary letter of credit and a failure to construct a workable credit that directly relates to the sales or purchasing contract. These failures can lead to increased costs for all parties, loss of goodwill, delayed payment and possible default.

To use Letters of Credit effectively, importers and exporters will need to fully understand the dynamics and terminology of a letter of credit, the role of each party, the importance of the shipping documents and the level of security offered.

This seminar will therefore examine LC process in detail and offer guidance on how to create a workable credit. It will consider the different interests of the exporter, importer and the banks and methods of reducing the risks for all parties.

It will also discuss methods of creating and collating accurate documents, the role of the draft (Bill of Exchange) and consider the options for negotiation of the credit and the current version of the rules that govern letters of credit (UCP600).

Duration
One day

Course Methods
The trainer will use oral and visual presentations, reference to fictitious and real examples and participatory exercises to illustrate course content. The delegates will receive copies of the presentation on which notes can be made together with copies of the workbook for future reference.

Who Should Attend?
This course is suitable for both importers and exporters. The content will be relevant to field and office based sales staff, purchasing staff, shipping and despatch personnel, accounts and finance staff, customer services, freight forwarders. No previous knowledge or experience is necessary and it will be suitable for experienced personnel who require an update on the latest rules.

Seminar Content

Options available for international trade payments
Terminology, structure, dynamics and content of a letter of credit
Importance of the sales/purchasing contract and its role in creating a workable credit
The roles and agendas of each of the parties involved in a documentary credit
Why documents are required to satisfy the conditions of the credit
Creation and completion of documents
Confirmation of credits
UCP 600 - The rules for letters of credit
Electronic Credits
Methods for the collation and submission of documents
Options available in the event of rejection
Charges and Commissions - who pays?
Various types of credits - transferable, back to back, revolving, red clause, standby
Bills of Exchange (Drafts)
The roles of drafts in conjunction with documentary credits
The options for negotiation of a letter of credit

Tutor: Peter Thompson

Time: Registration - 08:45, Start - 09:00, Finish - 17:00 (includes lunch).

Cost to attend: £270 for Members, £318 for Non-Members. All prices include VAT.

Payment methods:
By Cheque: payable to 'Essex Chambers of Commerce' and send to 8 -9, St. Peter's Court, Colchester, Essex. CO1 1WD
By Credit Card/Maestro: call the Accounts Dept on 01206-765277, give them your details and they will process the transaction

If you would like to book to attend this seminar, please complete the online booking form below

Your Details

Please let us know if you will be attending this event or not by completing the following form:

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Cancellation Policy

We reserve the right to charge the following cancellation fees:

We will provide a 75% refund for cancellation of places up to 14 days before the seminar takes place.
50% refund will be given for cancellations within 7-14 days and after that no refund will be given.
Delegates' names can be substituted at no extra costs.
Cancellation must be submitted in writing to the International Trade Manager at int-trade@essexchambers.co.uk

Please tick if you agree to the above cancellation policy.

For alternative methods of payment please call Rachael Hogg - 01206 363721

Please note - Non Members must pay in advance at their time of booking online using the 'pay now (online)' option on the booking section above.

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