Letter of credit

A Supervizor letter of credit is an instrument that allows business customers a safe way of payment, and creates a balance between the conflicting interests of the buyer and the seller. While the buyer does not want to pay the purchase price before he gets possession of the goods , the seller does not want to send the goods until he receives a guarantee that the agreed purchase price will be paid to him.

The Supervizor letter of credit enables the buyer’s interest to be secured, so that the supervizor, who is involved in the letter of credit transaction, will pay the seller the agreed purchase price, but only when the seller has submitted to the supervizor all the documents prescribed in the letter of credit, which prove that the contractually agreed quantity and quality of the goods or the service delivered to the customer.

The supervizor letter of credit provides insurance of payment to the seller and guarantee of delivery to the buyer. When ordering, the buyer transfers funds to the fiduciary account of the Supervizor, who transfers them to the seller’s account upon delivery of the. The value of the service is 2% of the transaction value.

The parties sign the contract of the Supervizor Letter of Credit. The legal aspect of funds transferred to a fiduciary account assumes that the funds are owned by the buyer until the moment they are transferred to the seller. The supervizor only has control over the management of the funds.