If the trade deal gets canceled or the buyers wish to revoke the LC facility, they will have to cover the advance issued with interest to the bank. For sellers, the Red clause facility offers advanced cash or loan from the bank. The sellers need to repay or settle the amount with the full LC value and pay interest to the bank. As the buyers are the main facilitators of the advance loan to the sellers, they add certain clauses...
Start typing to see results or hit ESC to close
Subscribe Now
Join millions of others and stay up to date with the latest developments.
