Sample Letter of Credit Term Sheet

Template / Example of LC Terms & Conditions for Buyer & Sellers in word/.doc format in India

January 18, 2014

ROCKET SALS LIMITED

   

REQUIREMENT OF IRREVOCABLE CONFIRMED LETTER OF CREDIT AT SIGHT

Documents will be presented

1.        Consignee copy of L/R – 1 No.

2.        Invoice in duplicate

3.        Duplicate for transporter copy of Excise Invoice will be sent through the transporter

Instruction for each document :

1.        L/R - Made to buyer’s name & address

2.        Notify – Buyer’s name and address

3.        Following Clause will be shown in the L/R

a)    Description of goods in brief

b)    Marked freight prepaid

c)     Incoterm – CIF

Additional term :

1.        Latest date of shipment - minimum one month from the date of issue and receipt of L/C

2.        L/C expiry – minimum 3 months from the date of L/C

3.        Presentation days – 21 days after the date of dispatch

4.        Advising Bank – any bank in India

5.        Late presentation of documents is acceptable

6.        Partial shipment is allowed

7.        Transhipment is allowed

8.        Tolerance in quantity and value +/- 10% is acceptable

9.        Documents presented will be accepted with discrepancies, if any 

10.   Discrepancies and typing error which do not affect the price, quantity & quality are acceptable

11.   All your bank charges will be borne by applicant and our bank charges will be borne by us

12.   All amendment charges to be borne by applicant

13.   Third party documents (third party’s name and address should be mentioned in L/C) are acceptable

Please send us the copy of L/C application for our approval before submitting the same to the bank.