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Umentary Collection Against Acceptance is a formal request for payment made by a bank on behalf of its customer. The bank acts solely as an agent and assumes no responsibility for the requested acceptance and/or payment. Collection Instructions: 1) Complete the Collection Request Wizard form (use upper case only). 2) Print and sign the second page International Documentary Collection along with the bill of exchange (Draft). 3) Send the International Documentary Collection along with the bill of.

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Documents Against Payment Collection A document against payment collection is initiated with the exporter shipping goods to a buyer. The seller or exporter supplies their bank with the shipping (and other relevant) documentation, which then forwards the documents to the importer or buyer's bank.

Documentary collection is a procedure by which the exporter's bank receives funds from the importer's bank in exchange for documentation tracking the shipped goods. It is a trade transaction in which exporters authorise their bank to serve as a collection agent for the payment of goods shipped to the purchaser.

1 They include a commercial invoice, certificate of origin, insurance certificate, and packing list. A key document in a documentary collection is the bill of exchange or draft, which is a formal demand for payment from the exporter to importer.

In practice, there are two types of documentary collections. Namely, Documents Against Payment (DAP) and Documents Against Acceptance (DAA).

The advantages of documentary collection are as follows: Obtaining export collection becomes easier owing to the banks' reliable assistance and safety. The buyer can avoid making advance payments to the seller. It is more affordable than a letter of credit.

Risks Associated with Documentary Collections. Since the buyer pays on receipt of documents only, he will not see the goods until after payment. If the goods do not comply with the order, the buyer has little recourse.

Documentary Collection Process The seller submits a collection order to his or her bank. The seller's bank then submits the collection order to the bank of the buyer. The buyer's bank presents a “presentation document” to the buyer, who then must make a payment or acceptance to his or her bank.

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© Copyright 1997-2025
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Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
DMCA Policy
About Us
Blog
Affiliates
Contact Us
Privacy Notice
Delete My Account
Site Map
All Forms
Search all Forms
Industries
Forms in Spanish
Localized Forms
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate workflows
DocHub
Instapage
Social Media
Call us now toll free:
1-877-389-0141
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232