Import and Export Settlement
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Outward Remittance

Overview
The Outward Remittance is a type of settlement service where ABC transfers a certain amount of foreign exchanges to the designated payee as instructed by the customer.
It includes telegraphic transfer (T/T), mail transfer (M/T) and demand draft (D/D), of which T/T and D/D are most frequently used. Under T/T, ABC transfers a certain amount of foreign exchanges via SWIFT to the bank account of the payee designated by the customer. Under D/D, ABC draws a foreign exchange demand draft ordered to the payee with an ABC branch as the paying bank, and the payee can get payment from the inward remittance bank (the paying bank) by presenting the draft.

Features
1. It is simpler in process and lower in costs compared with letter of credit and collection.
2. As the fastest remittance, T/T enables customers to make payment promptly and therefore gain good credit standing and trust from the payee.
3. D/D features low costs which helps customers reduce financial costs.

Procedures
1. T/T
· The customer selects T/T as the method of remittance when completing the Outward Remittance Application Form, and makes due payment to ABC as required.
· ABC transfers money to the inward remittance bank via SWIFT.
· The payee withdraws money from the inward remittance bank.
2. D/D
· The customer selects D/D as the method of remittance when completing the Outward Remittance Application Form, and makes due payment to ABC as required.
· ABC draws the demand draft.
· The customer delivers the demand draft to the payee.
· The payee presents the demand draft to the paying bank.
· The payee withdraws money from the paying bank.

Tips
The Outward Remittance is subject to relevant national regulations on the administration of foreign exchange, and valid documents as required by the administrative authority of foreign exchange should be submitted.

 
Note: Please contact your local branch for detailed information about the service.