Documentary CollectionsDocumentary Collection is a popular method of payment in which California Bank & Trust (CB&T) serves as an intermediary between you and your customer. On behalf of you, the exporter, the party initiating the collection, we present a collection item through a collecting bank for payment by your customer. The collecting bank does not credit the funds until it has received good value funds from your customer. We provide services for documentary collections as well as clean collection (a draft without documents). more Two common types of collections are:1. Documents Against Payment (D/P) - With documents against payment, the importer/buyer must pay before the shipping documents are released. 2. Documents Against Acceptance (D/A) - In documents against acceptance, the buyer must accept a usance (time) draft before receiving the shipping documents. Acceptance of the draft is the importer's promise to pay at maturity. Should payment not be made at maturity, a bank is under no liability and is not responsible to attempt to collect the past due funds. Download formsDrafts Against Payment Documents Against Payment Documents Against Acceptance |
