A Letter of Credit is an instrument issued by a bank whereby the bank agrees to pay up to a certain amount of money, to a specified beneficiary, upon receipt of documents required in compliance with the terms and conditions of the Letter of Credit. Different types of transactions require various types of letters of credit. To provide the best service possible, American Savings Bank offers three letters of credit choices:

Documentary Letter of Credit
Helps to finance the purchase of merchandise. Requires the presentation of certain documents with compliance to the terms and conditions before the payment can be effected.

Standby Letter of Credit
Represents an obligation to make a payment to a beneficiary for funds borrowed by, advanced to, or for account of the customer, for indebtedness undertaken by the customer, or default in the performance of an obligation. It is used for such personal activities as performance bonds, advance payment support and progress payment guarantees.

Export Letter of Credit
Guarantees payment to an exporter (seller) as quickly as possible.

	Highlights Below > Benefits You’ll Receive > Fast Facts

• Buyer can use bank’s guarantee as opposed to waiting until personal credit is established
• Competitive prices
• Around-the-world capability and experienced staff
• Beneficiary is assured of prompt payment

	Fast Facts
	Handling Fee	Contact our International Services Department
	Processing of Funds	Funds are paid promptly once compliant documents are received by the bank.
	Turnaround Time	Letter of Credit issuance is within 2 business days