Documentary Bills Forms under International Trade
Documentary Bills can be in the form of Sight Bill and Acceptance Bill. Method of payment depends on the form of bill used. Documents against Payment: Under this method, exporter draws a sight bill on the importer and hands over the relative documents specified in the contract to his banker with the instructions to deliver the documents only on payment. The documents are sent to the correspondent's bank, where the importer is located, with the instructions given by the exporter. When the importer makes the payment, he can get title to the goods and possession.
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