Agent Forward Foreign Exchange Settlement and Sales

Under this product, customers agree with the Bank to settle or sell a specified amount of foreign exchanges in a specified foreign currency type, at an agreed currency rate within a specified period.
Features:
1. Fixed foreign exchange payment cost by locking in the future foreign exchange purchase rate to prevent future foreign currency rate movement when making payment;
2. Locks export profits by locking in the foreign exchange settlement rate to prevent future foreign currency rate movement when receiving foreign exchanges;
3. Easy to apply, simply fill in the Application Form;
4. Flexible maturities to choose from six fixed-term transactions; can be extended in special cases;
5. Timely and reasonable quotes based on the prevailing market situation to reflect real-time currency rate changes, negotiable for large orders with more favorable currency rates.
Currency and Term:
Currency: USD, HKD, EUR, JPY, GBP.
Term: any terms within one year.
Target Customers:
Any domestic corporate and individual client that conform to the relevant regulations set by the State Administration of Foreign Exchange and have the need of forward foreign exchange settlement and sales.
Application Materials:
Forward Foreign Exchange Settlement and Sales Service Application Form.

Export Chuangli Finance

Under the export trade settlement, upon customer’s application, the Bank offers export financing to the customer by taking the export collection amount as deposit. At the same time, the customer is required to apply for a forward foreign exchange settlement deal and agrees to repay the export financing amount at maturity after the export collection amount is delivered. This service consists of foreign currency deposits, export financing and forward foreign exchange settlement.
Features: 1. Saves foreign exchanges purchase cost and lock in customer’s return. By leveraging the movements in the foreign exchange market and using forward foreign exchange sales deals, change the foreign exchange payment time and lock in the cost of purchasing foreign exchanges, earning added value;
2. Suitable for export foreign exchange payment business under the foreign exchange forward premium and when the foreign exchange appreciation is greater than the interest rate spread between the export RMB financing and the foreign exchange deposits.
3. Suitable for settlements by letter of credit, collection and remittance.
4. No impact on the customer’s authorized credit limit, as a service under special credit financing, no additional credit exposure risk.
5. No extra deposit required for forward foreign exchange settlement services.
Currency and Term:
Currency: Foreign exchange payment currency type is limited to the currency types that have been applied for forward foreign exchange settlement and sales services by the Bank. Term: Maximum term of the export financing under the Export Chuangli Finance product is one year.
Target Customers:
(1)Have the right to export operations, and
(2)No bad credit record at the Bank and/or other financial institutions.
Application Materials:
1. Export Chuangli Finance Service Application Form.
2. Materials required for foreign exchange payment for foreign trade.
3. Any other materials required by the Bank.

Export Zengli Finance

Under the export trade settlement, upon customer’s application, the Bank offers import financing and makes a foreign payment on behalf of the customer, taking the RMB deposit, RMB fixed-term certificate of deposit or principal-guaranteed RMB financial products as pledge. At the same time, the customer is required to apply for a forward foreign exchange sales deal with the Bank and agrees to repay the import financing amount at maturity after when the Bank releases the pledged RMB funds. This service consists of RMB deposit / RMB fixed-term certificate of deposit / principal-guaranteed RMB financial products, import financing, and forward foreign exchange sales.
Features: 1. Saves foreign exchanges purchase cost and lock in customer’s return. By leveraging the movements in the foreign exchange market and using forward foreign exchange sales deals, change the foreign exchange payment time and lock in the cost of purchasing foreign exchanges, earning added value;
2. Suitable for import foreign exchange payment business under the RMB forward premium and when the RMB appreciation is greater than the interest rate spread between the foreign currency financing and RMB deposits.
3. Suitable for settlements by letter of credit, collection and remittance.
4. No impact on the customer’s authorized credit limit, as a service under special credit financing, no additional credit exposure risk.
5. No extra deposit required for forward foreign exchange sales services.
Currency and Term:
Currency: Foreign exchange payment currency type is limited to the currency types that have been applied for forward foreign exchange settlement and sales services by the Bank.
Term: Maximum term of the import financing under the Import Zengli Finance product is one year.
Target Customers:
(1)Have the right to export operations, and
(2)No bad credit record at the Bank and/or other financial institutions.
Application Materials:
1. Import Zengli Finance Service Application Form.
2. Materials required for foreign exchange sales and payment for foreign trade.
3. Any other materials required by the Bank.

Export Bill Link

Export Bill Link refers to the bill acceptance services under export benefits. Upon customer application, Bank buys from the customer related export benefits of the instruments and the export tax refund custody account under the export letter of credit, export L/C/collection/remittance that conform to the Bank’s requirements, and issues RMB bank acceptance draft or letter of credit for customers to procure raw materials.
Features:
1. Addresses shortage of capital and provides financing support for working capital;
2. Increases capital turnover and improves capital utilization;
3. Reduces financial costs by realizing financing interest savings;
4. Flexible financing methods to meet customer needs of domestic and overseas procurement;
5. Flexible financing types, including money market instruments, bank acceptance draft or letter of credit, and replacing the previous instruments with new ones, to make better use of foreign exchanges received.
6. Suitable for various settlement methods including letter of credit, collection and remittance.
7. Applicable for all stages from materials preparation, production, delivery to tax refund.
8. Easy application and approval all in one application for export and procurement “one-stop” financing.
Percentage and Term:
Financing percentage: as per regulations of export foreign exchange advance, credit guarantee financing and export tax refund account custody loans under the package loan and same-type settlement.
Currency: USD, HKD, JPY, GBP, EU or RMB.
Term: as per regulations of export foreign exchange advance, credit guarantee financing and export tax refund account custody loans under the package loan and same-type settlement.
Target Customers:
Companies that have the right to export operations, procure raw materials from overseas market, and meet the requirement of the Bank’s trade financing credit facilities.
Application Materials:
1. Instrument Acceptance Service Application Form under the Benefit Interests;
2. Acceptance Draft Application Form or Letter of Credit Application Form;
3. Letter of credit or export contract, purchase and sales contract, value-added tax invoice or import contract;
4. In case of the instrument acceptance service under instruments, please present full set of export instrument. In case of remittance, please submit the export customs clearance form/export foreign exchange receipt check and write-off form affixed with the custom’s pass seal and bill of transportation. In case of export credit insurance coverage, please submit short-term export credit insurance coverage details notice, short-term export credit insurance policy or approval, buyer’s credit limit approval form and insurance policy statement.
5. In case of the instrument acceptance service under tax refund, please submit export goods customs declaration form (the tax refund copy), export goods sales invoice, export foreign exchange receipt check and write-off form (the tax refund copy), value-added tax invoice, and export tax refund special payment form.

Export Dual Factoring

When you and the importer agree to settle on credit sale or under documents against acceptance, Bank as the export factoring bank, together with the import factoring company, offers you a basket of banking services including inspection on the importer’s credibility, sales ledger management, loan collection, financing, credit risk control and bad debt guarantee.
Features:
1. Increases sales. Export dual factoring services help to provide more competitive O/A, D/A payment terms for new or existing customers, easily expand oversea market and increase sales.
2. Improves safety against risk. Through the factor partnership network, the Factor conducts credit assessment of the Importer and bears the credit risk of the Importer. The Exporter will have 100% foreign exchange receipt guaranteed within the authorized credit limit.
3. Offers financing facilities and optimizes financial statements. Export dual factoring services can facilitate accounts receivable financing, alleviate shortage of working capital tied in inventories and improve cash flows. By selling all account receivable outright to the Bank, businesses can enjoy the benefits of export tax refund and write-off ahead of time, avoid currency rate risks, and optimize their financial statements.
4. Reduces transaction cost. The Factor bears all the costs of credibility check, account management and accounts receivable collection, easing the business burden of the Importer and saving the management cost.
Percentage and Term:
Total financing amount shall be no greater than 80% of accounts receivable.
Currency: USD, HKD, JPY, GBP, EUR and RMB, in principle using the invoice currency.
Term: 30 days after the due date of accounts receivable as agreed in the contract, no longer than 6 months.
Target Customers:
1. Suitable for exporters that wish to reduce accounts receivable, at the same time are worried about the credibility of the potential customer, seek to lower the risk and expand market.
2. Suitable for exporters that have working capital tied in large amount of accounts receivable, accounts receivable turnover is low and are seeking financing support.
3. Suitable for exporter that wish to alleviate the burden of management and collection of accounts receivable.
Application Materials:
(1)Export Dual Factoring Service Application Form;
(2)Certification documents that prove the eligibility for international settlement services, such as the photocopy of the business license passed the annual check and the Import and Export Operations License; and
(3)Photocopy of the Export Trade Contract (if the exporter and the importer have signed the trade contract).

Payment Against Import

Upon customer application, the Bank can make payment on the applicant’s behalf to an overseas payee under the import foreign exchange payment service applied by the customer. The payment is made via an agent bank designated either by the customer or the Bank (the paying bank). The customer makes payment of the principal and interests on a specified date to the Bank which in turn repays the Agent Bank.
Features:
1. Higher capital turnover, less working capital tied and higher capital utilization;
2. Lower cost of financing by leveraging capital in the international money market;
3. Wider financing channels to overcome the foreign exchange supply shortage in domestic market and create more favorable business opportunities;
4. Creates added-value returns by reasonably deferring purchase and payment of foreign exchanges;
5. Optimizes income structure and enhances source of intermediate service income by including the agent financing spread in the commission income;
6. Suitable for various settlement methods of import including letter of credit, collection and remittance;
7. Wide channels available – Bank is working in partnership with many agent banks on the import payment service;
8. Easy and quick financing by sharing the credit limit with trade financing; and
9. Flexible pricing structure – prices are set according to the prevailing international money market quotes, interest accrued by actual days.
Percentage and Term:
Financing amount no more than the payment amount.
Currency: same of the import payment currency.
Term: a) The sum of the Payment Against Import period and the import payment period shall be by and large no more than 180 days.
b) Maximum Payment Against Import period can be one year under credit financing and special financing and upon approval of the agent payment bank.
Target Customers:
Companies that have the right to export operations and meet the requirements of the Bank’s trade financing credit facilities.
Application Materials:
1. Payment Against Import Service Application Form;
2. Copy of the Import Trade Contract and import instruments;
3. Agent Import Contract (if applicable);
4. Import Foreign Exchange Payment Filing Form (if applicable);
5. Import goods declaration for importation (export agent payment under the remittance item);
6. Any other materials as required by Bank.

Forfeiting

Forfeiting is also known as outright purchase of bills. Under this product, upon application of the exporter or the holder, the Bank purchases from the holder the forward draft or promissory note accepted by the Issuing Bank or the Confirming Bank with no recourse.
Features:
1. Addresses shortage of funds – provides support for working capital and mitigates lack of capital for exporters;
2. Increases capital turnover – quickly gets forward credit payback and increases capital turnover;
3. Brings about greater trade opportunities – offers credit facilities for exporters using the forward payment method and increases trade opportunities;
4. Reduces foreign exchange receipt risk – hedges the country risk and the business risk and ensures safety of foreign exchange receipt;
5. Optimizes financial statements – turns forward accounts receivable into current-period sales revenues and improves the financial status and solvency;
6. No need of guarantee;
7. Applies for tax refund in advance – clients can apply for export foreign exchange receipt check and export tax refund right after they have applied for the forfeiting service;
8. Wide channels available – Bank is working in partnership with many agent banks on the forfeiting service;
9. Easy and quick financing – has no impact on the company’s authorized financing credit limit;
10. Easy to apply and approve – relatively easy and simple application and approval procedures compared to general foreign exchange current loans;
11. Flexible pricing structure – prices are set according to the prevailing international money market quotes.
Percentage and Term:
The financing amount is the same as the accepted amount.
Currency: USD, HKD, JPY, GBP, EUR. Must be the same as the draft currency.
Term: Outright-purchase forfeiting is valid for no more than 180 days.
Target Customers:
Companies that have right to export operations, settle transactions by forward letter of credit, and meet the requirements of the Bank’s trade financing credit facilities.
Application Materials:
1. Forfeiting Service Application Form;
2. Letter of Transfer of Creditor’s Rights;
3. Forfeiting Service Agreement affixed with the seal, a copy of which is preserved at the Bank;
4. Copy of the export contract;
6. Letter of credit and any amendments, and all instruments under the letter of credit;
7. Any other materials as required by Bank.

Bank Acceptance Draft

Bank Acceptance Draft is a bill drawn by the drawer and accepted by a bank who promises to unconditionally pay the payee or the draft holder a sum of money equal to the face value of the draft upon maturity of the draft.
Features:
Offers a reliable and convenient payment and settlement tool to support business operations using the Bank’s credit.
Target Customers:
Suitable for payment and settlement for regular goods or service transactions between corporate and other organizations.
Currency and Term:
Currency: RMB.
Term: no more than 6 months.
Application Materials:
1. Credit Service Application Form;
2. Qualification certification letter of the drawer;
3. Financial statements of last 3 years and the most recent financial statements of the drawer;
4. Board resolution(s);
5. Real commodity trade or service contract, indicating settled by bank acceptance draft;
6. Source of fund certification materials of due proceedings payable by the drawer, including sales contract and capital budget plan; and
7. If using third-party guarantee, mortgage or pledge, relevant materials required by guaranteed, mortgaged or pledged loans.

Note: This page is for reference only, part of the business to local outlets announcement with specific provisions prevail.

Commercial Acceptance Draft Discounting

Under this product, the bearer sells the commercial acceptance draft held on hand to Bank who pays the holder an amount equal to the face value of the draft less the discount interest.
Features:
To support the development of commercial credit and to offer credit support to address the capital needs of our customers in daily operations and management.
Target Market:
Any corporate and other economic entity that meet the requirements of the General Rules of Loan and relevant specifications about the Debtor in the Bank’s credit management policies.
Currency and Term:
Currency: RMB.
Term: no more than 6 months.
Application Materials:
1. Credit Service Application Form;
2. Original and photocopy of the undue bank acceptance draft applied for discounting;
3. Qualification certification letter of the applicant;
4. Last year’s financial statements and the most recent financial statements;
5. Board resolution(s);
6. Photocopy of the commodity trade contract and value-added tax invoice;
7. If using third-party guarantee, mortgage or pledge, relevant materials required by guaranteed, mortgaged or pledged loans;
8. Any other materials required by the Bank.

Note: This page is for reference only, part of the business to local outlets announcement with specific provisions prevail.

Bank Acceptance Draft Discounting

Under this product, the bearer sells the undue bank acceptance draft held on hand to Bank who pays the holder an amount equal to the face value of the draft less the discount interest.
Features:
To support the development of commercial credit and to offer credit support to address the capital needs of our customers in daily operations and management.
Target Market:
Any corporate and other economic entity that meet the requirements of the General Rules of Loan and relevant specifications about the Debtor in the Bank’s credit management policies.
Currency and Term:
Currency: RMB.
Term: from the discount date to the expiry date of the bank acceptance draft, no longer than 6 months.
Application Materials:
1. Credit Service Application Form;
2. Original and photocopy of the undue bank acceptance draft applied for discounting;
3. Qualification certification letter of the applicant;
4. Last year’s financial statements and the most recent financial statements;
5. Board resolution(s);
6. Photocopy of the commodity trade contract and value-added tax invoice; and
7. any other materials required by the Bank.

Note: This page is for reference only, part of the business to local outlets announcement with specific provisions prevail.

Revolving Loan

To meet the regular capital needs of small businesses in daily operations, Bank grants revolving loans which allow the debtor to make multiple withdrawals and repayments and revolving use of funds within the approved limit and duration. The source of repayment comes from the future comprehensive earnings and other legitimate incomes of these small enterprises.
Features:
1. Revolving credit. Within the credit validity period, customers signing relevant contracts with the Bank specifying the maximum credit limit, can make multiple withdrawals and repayments and revolving use of funds within the approved limit and validity period of the contracts. Application and approval can be once for all.
2. Repayment can be made by each deal, by installments or by lump sum.
3. Long loan term, maximum 3 years.
4. Loan can be made by pledge, by mortgage or by guarantee.
5. Low cost of financing by revolving capital utilization, reduce capital occupancy and higher capital turnover.
6. Specially designed procedures and channels for application and approval make everything easy and fast.
Target Customers:
Designed for clients that have fixed premises for operations, run for no less than two years, have a clear major business line and good market for its products, enjoy good profits, have a good potential for growth and profitability, have stable cash flows and profits as the sources for credit repayment, have a credit rating of BBB or higher.
Credit Line and Term:
Credit limit no more than RMB 20 million.
Maximum Loan term is 3 years.
Application Materials:
1. Business license;
2. Organization code certificate;
3. Loan Card number and password;
4. ID card of the legal representative and a sample of his/her autography;
5. Articles of Association of the company;
6. Decision of the Board of Directors (or Shareholders’ Meeting) in accordance with the company’s Articles of Association;
7. Letter of certification for the purpose of granting the credit (for instance, purchase contract or invoice or order or notice of the purpose of the loan);
8. Letter of certification of the ownership and value of the property right in pledge;
9. Any other materials that are deemed necessary by the Bank.

Fast Loan

Small Business Fast Loan helps address the urgent financing needs and grants quick loans by taking specific pledge accepted by the Bank.
Features:
1. Offers quick financing through special application and approval procedures and channel. Easy to apply, loan to be granted within one working day the fastest after the application is received.
2. Specific pledge accepted, including residence or commercial property that the business owner and/or his/her family or other third-party has full and explicit ownership and title, has a life of less than 30 years, and is located in the downtown area in cities and towns covered by branches or in top 100 towns in China.
3. Fund may be released before the pledge procedure is finished, or having signed loan agreement and security contracts with quality enterprises recognized by Bank or the third-party guarantee company if registration of pledge unable to complete in the application day.
Target Customers:
Designed for small business customers that have urgent financing needs and both the company and its actual owner have good credibility.
Credit Line and Term:
Credit limit no more than RMB10 million.
Loan term no longer than 6 months.
Application Materials:
1. Business license;
2. Organization code certificate;
3. Loan Card number and password;
4. ID card of the legal representative and a sample of his/her autography;
5. Articles of Association of the company;
6. Decision of the Board of Directors (or Shareholders’ Meeting) in accordance with the company’s Articles of Association;
7. Letter of certification for the purpose of granting the credit (for instance, purchase contract or invoice or order or notice of the purpose of the loan);
8. Letter of certification of the ownership and value of the property right in pledge.