Purchase of clean bill

Product descriptions

The bill bought refers to that under the settlement business without accompanying trade documents such as clean bill collection, Fudan Bank purchases the bank's demand/usance bills which are paid/accepted by other banks by means of discounting, so as to provide financing services for customers.

Product functions

The product is used to meet the customer's short-term financing requirements under the collection of clean bills.

Product features

1. Speed up capital turnover. The forward claims can be recovered at any time, which will speed up the capital turnover and relieve the pressure of capital.

2. Simplify financing procedures.

Applicable customers

1. The customer has limited working capital relying on rapid capital turnover to carry out business.

2. The customer encounters temporary capital turnover difficulties before receiving payment under clean bill collection.

3. The customer encounters a new investment opportunity before receiving the payment under clean bill collection, and the expected rate of return is higher than the discount rate.

Applicable interest rate

The financing interest rate shall be subject to the Bank’s interest rate authorization for trade financing business.

Application conditions

I. Basic conditions

1. The applicant has been approved and registered in accordance with the law, and has an annually legal person business license or other valid documents which can prove its business legitimacy and business scope;

2. The applicant has a loan card;

3. The applicant has an account opening license, and has opened a settlement account with the Bank.

II. Other conditions

1. The customer has the demand/usance bill paid/accepted by other banks;

2. The applicant occupies the credit line of financial institutions as the paying bank/accepting bank. If the paying bank/accepting bank does not have relevant credit line with the Bank, the payee should apply for relevant credit line with the Bank.

Handling process

1. The customer submits the bills and relevant business applications to the Bank;

2. After the verification, the Bank will remit the discount amount net of interest expense into the customer's account, and reserve the right of recourse;

3. The Bank will send the bill to the foreign paying bank/accepting bank for claim for payment;

4. The foreign bank pays the Bank by the due date, and the Bank will repay the discount amount.