Trade Financing

Letter of Credit
A Letter of Credit is an essential mode of payment in your day-to-day local goods purchases and importation. Issued at your request, it bears EON Bank's undertaking to honour payment againts compliant documents, thus assuring receipt of your goods.

	Features
	Choice of settlement for sight or usance basis depending on credit terms given by your supplier. Commission of 0.1% per month on the Letter of Credit amount. Mode of issuance at your preference: SWIFT. Tested Telex Message. Courier or Air Mail.

Trust Receipt
A Trust Receipt is used by buyer to finance local purchases and importation of goods under EON Bank's Letter of Credit.

	Features
	Short term financing up to 180 days. Financing in Ringgit/Foreign Currency (subject to prior arrangement). Partial payment or prepayment allowed.

Bankers Acceptance
If you are looking for financing for your local purchases/importation of goods or financing for your credit sales/exportation of goods, you will need EON Bank's Bankers Acceptance.

	Features
	Short term financing up to 200 days. Financing in Ringgit in multiples of RM1,000 (minimum amount RM50,000). Competitive discount rates that are near the inter-bank money market rates.

Shipping Guarantee
Shipping Guarantee is issued in favour of shipping company (carrier) to enable importer to collect goods pending arrival of shipping documents under EON Bank's Letter of Credit. As such, importer does not have to incur demurrage and/or warehouse charges.

	Features
	Commission at 0.1% flat on invoice amount. Enable importer (consignee) to collect goods immediately upon arrival of vessel.

Purchase and Discount of Local Sales and Export Bills (BEP/BED)
Whenever you need financing for your post-shipment (local sales and exports), you can channel your bills through EON Bank for collection and payment under the Bank's BEP/BED.

	Features
	Financing available for sight and usance bills and extended according to the currrency of invoice. Discounted proceeds (after deduction of interest for duration of financing period) are directly credited into sellers' account with EON Bank. Interest free grace period available to exporter who invoices in foreign currency for sight exports.

Pre-shipment Export Credit Refinancing (Pre-shipment ECR)
If you are a direct exporter or local supplier (who sells to direct exporters) of eligible goods, EON Bank's Pre-shipment ECR is available to facilitate your purchase of raw materials and components to manufacture into final products for eventual export. This product is also available to exporters of agricultural goods.

	Features
	Competitive financing rates. 80% margin of financing (subject to eligibility) Available to new and seasonal exporters.

Post-shipment Export Credit Refinancing (Post-shipment ECR)
EON Bank's Post-shipment ECR is available to direct exporters to promote the export of eligible goods on credit terms. You can channel your usance export bills for collection and payment.

	Features
	Competitive financing rates. Financing extended in Ringgit. Discounted proceeds (after deduction of interest for duration of financing period) are directly credited into sellers' account with EON Bank upon presentation of export bills.

Banker's Guarantee
With our Banker's Guarantee, we can help you to guarantee performance of your contracts and tender bids.

	Features
	Commission at 0.1% per month on the Banker's Guarantee amount will be levied upon issuance. The validity period of the Banker's Guarantee should not be more than 1 year except for those in favour of Government bodies and for specific performance contracts.

Other Trade Services
EON Bank also provides the following trade services for your convenience:-

• Advising of export letters of credit.
• Transfer of letter of credit (LC).
• Issuance of special credits, e.g. transferable LC, back-to-back LC, stand-by LC etc.
• Packing credit facilities.
• Collection.