Thursday, 21 November 2019, 24 Rabiulawal 1441H Solat Time:

Letter of Credit-i (LC-i)

LC-i is a written undertaking by the Bank at your request as a Buyer/Applicant to pay the Seller/ Beneficiary a certain sum of money as stipulated in the LC-i provided that the Seller/Beneficiary complies with the terms and conditions of the LC-i. Our experience shows that our undertaking to pay Seller/Beneficiary is may be accepted widely throughout the world.

LC-i is issued under Murabahah contract and thereafter the goods purchased will be sold to you at a marked up price for a deferred payment. Alternatively on negotiation of the LC you may pay the negotiated amount at cost.

Benefits of using our products:

  • No ‘transit interest’ charges as payment to Seller/Beneficiary only upon acceptance of documents
  • No hidden costs
  • Provides platform for both parties to agree trade terms and efficient payment arrangement
  • Fax application is also accepted if prearranged
  • Upon issuance, we will fax you the copy of the LC-i for your reference
  • You may also request us to purchase the necessary marine cargo takaful on your behalf

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