EDCA offers an easy and efficient way for exporters to receive copies of export documentary credits (DCs) via e-mail. An automatic e-mail message will be generated and sent to exporters, when an export transaction is recorded and approved in the Bank’s system. HSBC safekeeps the DC for the customer under the bank’s DC Safe Custody Service or DCSC.
This is the first of its kind to be offered to exporters in the Philippines. Exporters require speedy access to their DCs so that they can commence production and execute their orders rapidly. Combining the latest electronic banking technology with a highly practical solution for any exporter’s requirements, EDCA is unique and guarantees to provide exporters with the fastest access in the market to their export DCs.
A documentary credit (DC)/letter of credit (LC) is the written undertaking by a Bank (issuing bank) issued on the instructions of the buyer of goods or services (applicant) to effect payment under stated conditions. Where DC terms are agreed in a sales contract, the exporter may nominate the bank to whom the issuing branch should send the DC. The advising bank is obliged to take reasonable care to check the apparent authenticity of the DC.
EDCA offers an alternative means to receive a non-negotiable copy of the export DC and subsequent amendment(s) via e-mail. The new service also provides flexibility as the recepient of the e-mail can forward it direct to their remote factories, make copies of attachments or even "copy and paste" extracts of the text to facilitate the preparation of the DCs.
"HSBC has been a leading provider of trade services in the Philippines and the world for more than 130 years. As our customers’ partners in long-term growth, HSBC trade services aims to continually add value to their business, As the world’s local bank, we constantly develop products, share expertise and experience in trade services and finance across 81 countries where we operate to benefit our local customers," said Paul Lawrence, chief executive officer of HSBC in the Philippines.