Non-Cash Loans

Make your import and export transactions easier with the guarantee letters and letters of credit.

Non-Cash Loans | Corporate

    Letters of Guarantee

    A letter of guarantee is a commitment issued by the Bank in favour of the beneficiary to ensure that the obligations undertaken by the debtor against the beneficiary will be fulfilled. The bank, through this letter, irrevocably undertakes to pay a certain amount specified in the guarentee letter upon the request of the beneficiary and with no need of any further objection in case the debtor fails to fulfill its contractual obligations in accordance with the provisions of the agreement executed with the beneficiary.

    External Guarantee Letters

    External Guarantee Letters are letters of guarantees issued in foreign commercial transactions for the performance of certain commitments to an oversea addressee.  In case of failing to fulfill the commitment within determined term and in accordance with the agreement signed between two parties, the amount payable by the party having assumed the commitment is paid to the addressee.

    Letters of Credit

    It is a method of financing foreign trade whereby an undertaking to make payment for goods is given to the exporter in import transactions when the letter of credit stipulating the terms and conditions related to the import (shipment date, payment terms, type and value of the goods) is delivered by the Bank to the exporter’s bank in abroad and after the shipment of the goods to Turkey.

    The letter of credit is a deferred payment letter of credit in case where the payment  is made a fixed number of days after the shipment in accordance with the wording of the letter of credit.

    Deferred Payment Letters of Credit

    With an Export Letter of Credit Confirmation Credit, the bank adds its confirmation to an irrevocable export L/C opened in favor of a company, thereby undertakes the economic and politic risks and provides a payment guarantee on the maturity against the presentation of documents that are in compliance with the L/C conditions.

    Import Transaction with Acceptance Credit

    Acceptance Credit is an import credit in its nature however, there is also a accompanying promissory note drawn by the exporter on the importer.  The seller requires the importer’s bank to accept the promissory note in order to get the payment of the goods under guarantee. Acceptance of the promissory note by the bank, in other words,  undertaking the payment of the promissory note on its due date, constitutes the credit base. Depending on the agreement between the exporter and the importer, the payment of the goods can be made with deferred payment such as 3,6,9 months etc. after the shipment.

    When the bank adds its aval to the promissory note which is accepted by you as the debtor in your acceptance credit and cash against documents import L/Cs, then it guarantees the payment on its due date. Thus, with an aval credit limit to be allocated by our Bank, you will be able to get your goods before making any payment.

    Pre-financing Loans

    Pre-financing Loan is a type of loan used to finance purchase of goods and services in sales and deliveries that qualify as exports and other foreign currency generating activities of which is obtained by a vendor itself from its buyer in another country or from international markets and is made available through a bank or a private finance institution in Turkey, which may or may not act as a guarantor, with a maximum term of 12 months other than in some exceptional cases. These loans cannot be disbursed in foreign currency and the principal, interest and costs must be closed by export proceeds, sales and deliveries that qualify as exports and other foreign currency generating activities.  Our bank mediates the use of these loans either by issuing its guarantee or not.

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