Means of payment in South Korea

Collection

Exports to South Korea

  • Documentary Credit: gives the seller a guarantee of collection prior to shipping the merchandise. Option of financing for the Korean payer (importer). It is advisable to work with LCs in transactions being made for the first time in South Korea.
  • Collections:collection management of commercial documents with the buyer by a bank in South Korea. Generally, with sight bill of exchange or payment.
  • Guarantees for advance payment:performance bond, deposits and also for regular transactions or for capital goods.
  • Forfaiting:non-recourse promissory note discount or export L/C.

Payment

Imports from South Korea

  • Documentary Credit:bank promise to pay on condition that documents accrediting the export are submitted.
  • Documentary remittance:management of payment collection for commercial documents with the buyer by the Spanish bank.
  • Guarantees.
  • Simple transfer: common payment and collection method.