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Our team provides structured risk management solutions for clients looking to manage their foreign currency and interest rate exposures. Our solutions range from basic to complex derivative products and : Structured Products involving a combination of the above. Through a combination of different derivatives, we also design Structured Products, enabling our clients to manage exposures and take advantage of developments in the interest rate and currency markets.

Key Attraction

REMITTANCES

Benefits With Remittances

ADVISORY SERVICES

Superior Advisory Services

TRADE ADVANTAGES

Inland Trade Advantages

Feature & Benefits

Letters Of Credit Issuance

YES BANK offers import letters of credit

A letter of credit represents an unconditional undertaking by the Issuing Bank to pay/accept to pay to the beneficiary on fulfilment of stipulated documentary conditions. YES BANK offers import letters of credit (LC) and are issued for procurement/import of raw materials as well as capital goods.

Bills on collection

This is a secure method of payment than open account trading.

By virtue of Documentary collection services, the seller presents the trade documents through intermediary banks to obtain a payment from a buyer. The Buyer’s Bank then releases the documents against payment or acceptance from the importer strictly in accordance with instructions from the remitting bank. It is a more secure method of payment than open account trading.

Import Advance Payments

These are payments effected by the importer to the exporter/actual supplier

Import Advance Payments are payments effected by the importer to the exporter/actual supplier, prior to the shipment of the merchandise by the exporter/supplier.

Direct Imports

The documents are directly dispatched by the seller to the buyer in India

In direct imports, the documents are directly dispatched by the seller to the buyer in India who in turn submits the same to its bank for effecting the import payment. This facility is permitted for specific categories of imports/importers in India and with value restrictions for categories as classified in the prevailing Reserve Bank of India guidelines. The advantage here is that the Buyer receives the documents/goods before making the payment.

Buyers/Suppliers Credit

Trade Credits’ refer to credits extended for imports directly by the overseas supplier

Trade Credits’ (TC) refer to credits extended for imports directly by the overseas supplier, bank and financial institution for maturity of less than three years. Depending on the source of finance, such trade credits include suppliers’ credit or buyers’ credit.

Suppliers’ credit relates to credit for imports into India extended by the overseas supplier, while buyers’ credit refers to loans for payment of imports into India arranged by the importer from a bank or financial institution outside India for maturity of less than three years

YES BANK issues import LC with suppliers’ credit structure by arranging competitive quotes for financing / Discounting from our large bouquet of correspondent banks spread across geographic regions. We also facilitate / arrange import finance (Buyer’s credit) through our relationships /correspondent banks at competitive rates of interest in accordance with RBI guidelines. Buyer's Credit is a foreign currency loan and interest rates are typically linked to the LIBOR rate of the currency of finance

Bank Guarantees

A Bank guarantee provides substantial comfort to the beneficiary for establishing contracts with suppliers and contractors.

The Bank Guarantee is an instrument which business partners use to strengthen and/or secure an obligation in their underlying contract. By issuing the Guarantee, the Bank offers a security to the Beneficiary, that is separate from the Principal's ability or will to fulfil his part of the contract. A Bank guarantee provides substantial comfort to the beneficiary for establishing contracts with suppliers and contractors.

Export Finance

Export Finance services include both pre-shipment and post-shipment credit

It is our endeavour to help you take your products and business global. Our Export Finance service is customized to supplement the funding gaps in your working capital cycle. Export Finance services include both pre-shipment and post-shipment credit which is offered in INR and Foreign currency

Pre-shipment Finance

The pre shipment advance granted to exporters should not exceed the FOB value of goods

The pre shipment advance granted to exporters should not exceed the FOB value of goods or the domestic market value of goods whichever is lower. Thus, the loan amount is to be disbursed net of insurance, freight and profit margins. Pre-shipment finance is also granted on a running account basis to exporters with good track record.

Types of Pre-shipment Finance :

  • Packing Credit in India Rupees (EPCL)

  • Packing credit in foreign currency (PCFC)

Post-shipment Finance

Post-shipment finance is a loan or advance granted to an exporter of goods from India.

Post-shipment finance is a loan or advance granted to an exporter of goods from India. Exporters are provided with upfront payment for the goods exported.

  • Export bills purchase/discounted: Export documents may be purchased/ discounted under post-shipment credit facility offered by the bank to the exporter.

  • Export bills negotiated under LC: Export documents under LC can also be negotiated. Negotiation of bills is done with full recourse to the exporter, unless the LC is confirmed.

  • Advances against bills sent on collection: Export documents are handled by the bank purely on a collection basis and a post-shipment rupee loan is granted, based on the notional exchange rate.

Export Collection Bills

Routing your bills through YES BANK ensures hassle free collection of export proceeds through our correspondent network.

Routing your bills through YES BANK ensures hassle free collection of export proceeds through our correspondent network. We have tie-up with reputed Courier agencies to ensure prompt, efficient and timely dispatch of your documents. Export documents are sent by Banks on collection basis to the overseas branches/correspondents or importer Banks, and funds are credited to exporters’ account on realization.

Advising & confirmation

Advising & Confirmation of Export LCs

In case of an Export LC received for advising at our counters, the export LC issued in your favour is checked for authenticity and delivered to you instantly vide our network of Branches. You can simply advise your buyers to route the advising of LCs through YES BANK to ensure timely delivery. Our expert advisory team can help you understand LC terms and assist you in preparing documents. We also offer export LC confirmation facility based on your requirement.

Inland LC

YES BANK issues Inland Letter of Credit on your behalf that gives you the advantage with your suppliers.

Inland letter of credit is an obligation of the bank that opens the letter of credit (the issuing bank) to pay the agreed amount to the seller on behalf of the buyer, upon receipt of the documents specified in the letter of credit under domestic business transaction.

YES BANK issues Inland Letter of Credit on your behalf that gives you the advantage with your suppliers. Our experts advise you in drafting the Letter of Credit terms and condition so as to protect your interests.

Inward Remittances

The YES BANK network makes it effortless and simple to transfer funds

The YES BANK network makes it effortless and simple to transfer funds from anywhere in the world, instantly. Manage your foreign exchange flows efficiently, with our attractive rates and faster turnaround times. Just use the routing codes given below in the Nostro table for all your inward remittances.

As an importer/exporter you have the option to open an EEFC Account with us to manage your foreign exchange flows as per your business requirements. You can also utilize the balance in your EEFC Accounts for making import payments and other current / capital account transactions permissible under FEMA.

Our Exchange House partners in the Gulf Cooperation Council (GCC) countries, Hong Kong, and Singapore remit their Non Resident Indian (NRI) customer’s monies to beneficiaries in India using our Inward Remittances.

Outward Remittances

An Outward Remittance is a transfer of money in foreign exchange

An Outward Remittance is a transfer of money in foreign exchange, by a resident in India to a beneficiary situated outside the country (except for Nepal and Bhutan) for a purpose as approved under FEMA. You may send money abroad to a beneficiary for various purposes including foreign travel, gifts, medical treatment etc.

Advisory Services

Structuring of complex and long tenure LCs related to Import of raw materials/capital goods/projects to safeguard your interest

  • Structuring of complex and long tenure LCs related to Import of raw materials/capital goods/projects to safeguard your interest

  • Structuring of LC/BG to save cost

  • Facilitate Supplier’s credit/Buyer’s Credit Transactions

  • Foreign Exchange related matters

  • EEFC/DDA/OTO /Special FCY accounts

  • Advice on RBI related provision on Project Exports and Services

  • All Current and Capital account transactions as per FEMA guidelines

  • Regulatory requirements/International Rules on Trade and Payments (International Chamber of Commerce)

  • Credit/Opinion reports

Bullion Business

YES Bank is nominated agency for importing Gold/ Silver.

YES Bank is nominated agency for importing Gold/ Silver. We offer complete bullion solutions catering need of Gold / Silver import of our clients.

  • Outright sale - Clients can purchase gold/silver on outright basis across major centres PAN India.

  • Gold Loan – Jewelry Manufacturers can avail gold loan for domestic as well as export purpose* at attractive interest rates.

The sale is subject to the rules and regulations prescribed by Reserve bank of India from time to time.

* Gold can be made available for export purpose at select locations.

Merchanting Trade

At YES BANK, we handle merchanting/intermediary trade transactions based on your business requirements

At YES BANK, we handle merchanting/intermediary trade transactions based on your business requirements. Goods involved in the transactions should be permitted to be imported into India and all the rules, regulations and directions applicable to Exports (except GR/Shipping bill) and Imports (except Bill of Entry) are to be complied with for the export leg and import leg, respectively. It is to be ensured that the entire merchant trade transaction is completed within a period of 6 months OR as per the Tenor stipulated by RBI from time

Channel Finance - Dealer & Vendor Financing

YES BANK offers Channel financing products that extend working capital finance dealers or vendors

YES BANK offers Channel financing products that extend working capital finance to dealers or vendors having relationships with large corporates. The products are designed to add value to supply and distribution channels by providing unique solutions to meet their working capital requirements. The financing would be done to the dealers of the Anchor based on the approved list of dealers provided by the Anchor or the financing would be done to the vendors of the Anchor based on the approved list of vendors provided by the Anchor.

Financial Supply Chain Solutions

Our dedicated teams of trade finance experts endeavour to provide customized solutions to suit the customer’s financial supply chain.

At YES BANK, our dedicated teams of trade finance experts endeavour to provide customized solutions to suit the customer’s financial supply chain. The in-depth understanding of the customer’s business and the superior delivery models has helped us achieve valuable customer satisfaction. Our suite on Financial Supply Chain Solutions include:

  • LC Backed Financing

LC Backed financing of bills/documents is a short term working capital solution that helps the customer to close the funding gap between sale of goods or services to the realization of sales proceeds. This is a widely used route for funding of working capital. We have been offering the domestic LCBD product to a majority of our customers across business segments.

  • Non-LC Backed Financing i.e. Bill of Exchange/Invoice/Purchase order(PO) / Proforma Invoice(PI) financing:

YES BANK offers Bill of Exchange/Invoice/Purchase Order (PO)/ProForma Invoice (PI) financing facility to its clients across all segments. In such cases the Bills of Exchange/ Invoices/PO/ PI submitted by clients will be financed.

 

Benefits to Sellers

  • Effective Management of the cash conversion cycle by managing the days sales outstanding

  • Unlock the working capital

  • Enhanced cash flow forecasting

  • Straight through Processing of Receivables

  • Enhancing the relationship value

Benefits to Buyers

  • Easy accessibility to low cost working capital

  • Dynamic Discounts/Rebates on early payments

  • Effective management of Days Payable outstanding

  • Enhanced cash flow forecasting

  • Straight Through Processing of Payables

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Have any other query?

Q. Do I need a credit facility for this product?

A. No, you do not need a credit facility to utilize this product.

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Q. How do I know the documents have arrived with YES Bank?

A. Our trade desk officer will inform you by phone or fax when your documents have arrived.

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