Documentary Remittances
What is a Documentary Remittance?
A Documentary Remittance is one of the most used means of payment in international trade.
The "Remittance" or "Collection" consists of the processing of financial and/or commercial documents from the foreign party, carried out by a Bank on behalf and order of its Customer (Exporter) and according to the instructions received, in order to:
- obtain payment and/or acceptance;
- submit documents against payment and/or against acceptance;
- submit documents under other terms and conditions.
It is a product that is used when there is already some degree of confidence between the economic agents. Thus, it allows you to reduce the commercial and financial risks inherent to your international activity. The exporter trusts in the importer's capacity to fulfill the agreed payment dates, and the importer trusts that the exporter will execute dispatches on the stipulated dates.
Types of Documentary Remittances
-
Depending on the constituting documents, Documentary Remittances can be designated as:
- Clean Remittances: involves the collection of financial documents (bills of exchange, promissory notes, checks, or others).
- Documentary Remittances: implies the collection of financial and commercial documents (Invoices, Contracts, Bills of Lading, among others).
Advantages
-
As an exporter company
- You keep possession of the goods until payment or acceptance of the bill, provided that the commercial documents that transfer ownership were not previously remitted to the importer.
- You save time since it is the bank that processes the documentation.
as an importer company- Control over payment.
Collection Modalities
-
Main Collection Methods:
- Documents Against Payment (Cash Against Documents) - the Presenting Bank (Drawee Bank) must only deliver the documents to the drawee (importer) against payment of their value.
- Documents Against Acceptance (Documents Against Acceptance) - the Presenting Bank (Drawee Bank) must only deliver the documents to the drawee (importer) against acceptance of the accompanying bill, which implies deferred payment.
Costs
-
Fees
See the price list for BBVA Documentary Remittances in point 16.1
Contact Us Companies
BBVA Helpline
Your bank always on hand
707 256 256
+351 21 391 14 16
from abroad
Support for Businesses
Contact us by email
empresas.pt@bbva.com
Your question will be promptly answered or forwarded.
BBVA Responde
Through the form
BBVA Responde will answer you
For those who prefer not to send an email.
Branch network
Visit us in person
BBVA Branches
Find out where to find a BBVA Agency near you.
