| BUSINESS PRODUCTS & SERVICE |
BRIEF FEATURES |
| Letter of Credit (LC) |
- Effectively a letter of undertaking to guarantee payment on an import against receipt of specified documents
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| Shipping Guarantee (SG) |
- If goods arrive before proper documents (Bill of Lading), HLB can issue Shipping Guarantee to allow the customer to claim the goods immediately without delay upon arrival
- HLB will guarantee the shipping company against all consequences of liabilities accrued from the release of the goods to the buyer
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| Trust Receipt (TR) |
- A financing tool available to local purchaser / importers
- Provides a competitive source of working capital to finance imports/local purchases
- Local purchaser / importer acts as trustee to the bank by executing trust receipt documentation for TR financing
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| Banker Acceptance (BA) |
- A financing tool available to buyers / importers & sellers / exporters
- Provides a competitive source of working capital that offers flexibility and is complementary to other banking facilities
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| Invoice Financing (IVF) |
- A financing tool available to buyers / importers & sellers / exporters
- Provides customer with the financing of business related foreign and local sales (on credit) or foreign and local purchases (sight terms or remaining usance for credit purchases).
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| Advance Against Trade Pre & Post Shipment (AAT) |
- AAT is a financing product tailored for Exporters.
- HLB provides the customer with Pre and Post shipment financing to finance them from the point of raw materials purchase to the moment they receive export proceeds.
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| ECR Pre & Post Shipment (ECR) |
- Designed to promote growth in the export of manufactured products, agriculture products and selected primary commodities that have significant value-added and utilise local indigenous resources, via the provision of credit facilities as a supplement source of funds, prior to or upon shipment of the products
- Customers utilising ECR generally enjoy relatively low interest rates
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| Local / Foreign Bills of Exchange Purchase (DBEP / FBEP) |
- DBEP / FBEP is a facility granted by HLB to its customers for financing of sale / export of eligible goods against outward bills sent via HLB
- HLB will undertake as remitting bank to remit documents to and collect proceeds from the buyer
- This enables the customer to receive funds earlier
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| Local / Foreign Bills of Exchange Negotiated Under LC (DBEP [AP] / FBEP [AP] |
- For those who qualify, DBEP [AP] / FBEP [AP] is a facility granted by HLB to its customers for negotiation of LCs
- HLB will purchase / negotiate / discount export documents from the customers
- HLB will undertake as remitting bank to remit documents to and collect proceeds from the LC Issuing bank
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| Onshore Foreign Currency Loan (OFCL) |
- For those who qualify, OFCL is a facility granted by HLB to its customers for financing imports in foreign currency
- Provides an alternative source of working capital to finance imports especially for those exporter cum importer where the export proceeds can be use to off-set the outstanding loan without having to lose out in Forex conversion
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| Export Credit Insurance (ECI) |
- It is a credit insurance policy issued to cover the risk of non-payment by the buyer due to insolvency of buyer, protracted default and political risk
- It assists sellers to expand their business into new markets
- Insured trade receivables may be pledged as collateral for credit facilities
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| Documentary Collection (Both Inward / Outward) |
- The exporter entrusts the handling of trade documents to banks and gives the banks instructions concerning the release of these documents to the importer
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| Bank Guarantee (BG) |
- BG is a facility granted by HLB to:
- guarantee the beneficiary of BG against all consequences of liabilities accrued for an agreed sum if the applicant fails or defaults from their commitments or undertakings to the beneficiary
- honor claims only when the beneficiary presents documents in compliance with those stipulated in the BG by the applicant
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