Trade Financing

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Bank guarantee Documentary credit Documentary collection

ProCredit Bank, as one of the leading banks in the country, offers high-quality service in trade financing for your business.

Thanks to our experience and trained experts, we provide payment security and strengthen trust in your business partnerships with guarantees and letters of credit issued and confirmed by us.

We can quickly respond to your business needs related to secure and fast service when securing contractual relationships with bank guarantees, payments for imports and exports of goods and services. Some of the most important tools to secure your business are:

Bank Guarantee
Documentary Letter of Credit
Documentary Collection

Frequently Asked Questions

The bank guarantee is an instrument securing payments and ensuring the fulfilment of commitments made between the partners. The documentary credit is an instrument that can be used to both guarantee a payment and make a payment. The bank guarantee and the documentary credit are independent and separate commitments from the commercial contract.

Both bank products constitute payment instruments. The difference is that the documentary collection involves lower banking costs, but has a correspondingly lower degree of assurance, since payment depends entirely on the good faith and solvency of the importer. This is why it is popular with counterparties who already have previous trade deals and have established trust with each other.

Unlike a documentary credit, a documentary collection does not constitute a commitment on the part of a bank to pay. Banks handle/deliver the documents in compliance with the instructions of the exporter.

ProCredit Bank (Bulgaria) EAD provides you with a high level of assurance. The confirmed Fitch rating is BBB-.

The banks deal only with documents and not with goods.