Methods of Payment in International Trade for Export & Import (2020)

4 Methods of Payment used in International Trade are Open Account, Advance Payment, Documentary Collection & Documentary Credit
Website: tradelinks.com.my/
Online Course : www.tradelinks.com.my/online-c...
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For Importers that want to know How to Import and for Exporters that want to know How to Export, it is important to understand what are the methods of payment in International Trade.
Also, this video walks you through the movement of 3 items between the Exporter and Importer in International Trade. From the Exporter to Importer, there are movement of goods and shipping documents. From the Importer to Exporter, there are movement of money.
From these 3 movements of goods, shipping documents and money, there are 4 methods of payment which are
o Open account
o Advance payment
o Documentary Collection
o Documentary Credit
The video talks about when the goods are available to the Importer, the timing of the payment & the risks to the Importer under the different method of payment.
If the Exporter & Importer are new to each other and there is no trust between both parties, they need the bank to come into the picture and for this the bank had invented
o Documentary Collection Method - Sight(D/P- Documents Against Payment) & Usance (D/A-Documents Against Acceptance)
o Documentary Credit Method
This video is designed to provide those operating within International Trade : Exporters, Importers, Bankers & Insurers, Freight forwarders and Carriers an opportunity to broaden their understanding of methods of payment in International Trade.
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This video was produced by
1. Mr. Billy Fong Goon Poy, ACIB, MITD, Master Trainer
2. Ms Sook Ling, Online Content Creator
Tradelinks Resources conducts public training programs for the following International Trade courses in Malaysia
1. Incoterms 2010
2. Letters of Credit
3. Bills of Lading - Correct Preparation To Avoid Rejection by Banks

[@TradelinksResources]

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[@RaviKumar-yj7hu]

Tradelinks Resources valueble information , thanks a lot.

[@sisiradissanayake2003]

If we use T/T can exporter to cheat

[@NguyenDuy-pi6jd]

Ravi Kumar tg gyvà yêu Vy
T ư quái
C
G

[@dirghabandhusubedi9438]

very nice presentation thanks a lot for your performance, I am waiting another episode in this subject matter

[@nhigenz7478]

these videos are treasure to me. thank you. keep up the good work!

[@nicorobin7666]

This is amazing, you have just broke everything down and put it into logical sequences and good explanation. I can't thank you enough ❤

[@TradelinksResources]

thanks for your comment

[@SammyB-Habebe]

Thank you for the video! Great information and very valuable

[@TradelinksResources]

Samuel Batarseh thanks !

[@daniellopezhernandez3069]

Thank you very much for this video! it is very very well explained and concise. P.S.: I love your sound effects from the presentation :D

[@TradelinksResources]

thanks for your comment

[@makwalamorongoayolenda1700]

Sook Ling thanks for the videos and the way you explain present the topics is detailed and very easy to understand and follow

[@shinyshippingservices1012]

Thanks for sharing, much appreciated.

[@TradelinksResources]

thanks

[@safabdr3405]

Thaanks a lot .. amazing explaination

[@MGL_Studio_Berlin]

easy to understand and the slides are easy to remember. perfect. thank you

[@TradelinksResources]

thanks for your comment

[@moviestuff3617]

Thanks !! It helped me with the exam!!

[@user-oc4fg6eh5y]

Thank you very much! It helped me a lot with my homework!

[@TradelinksResources]

thanks for your comment

[@otarujoshua8246]

thanks so much for this info... have a Marine Insurance exam tomorrow and this is more than helping. Good one!

[@TradelinksResources]

Thanks for your comments

[@YouSeeDot]

Great to see and watch u Sir Billy Fong

[@karimkiseka6032]

Thank you this is helpful.
just one question...what would you say are the common mistakes made in exports operations?

[@1973hudhud]

Easy , informative and professionally presented

[@TradelinksResources]

Thanks for your comments

[@yozerni9999]

I am someone who does not understand the trading business, with this video make me interested in knowing trading business especially about payment and important
documents

[@geniatube]

Awesome information!

[@TradelinksResources]

thanks for your comment. is there any topics you would like to see in my next video?

[@denisnkohnyam2756]

Thank you very much for your explanation.

[@TradelinksResources]

thanks for your comment

[@locust1536]

Starts at 1:55

[@maseseb7790]

Thanks for the videos

[@user-fg9dp9ol3j]

Thank you!

[@laughingisland2179]

Its good. Thanks for uploading.

[@TradelinksResources]

thanks for your comment

[@indianschoolofexportimport7768]

Excellent..!! Keep it up !!

[@TradelinksResources]

thanks for your comments

[@timothyvongai911]

Thanks for the good job

[@sunnychopra3918]

Many thanks for this video. Pls make video for TT, LC and ESCROW

[@incibeyaz6226]

thanks a lot ,living in turkey and it helps me a lot with understanding foreign trade

[@TradelinksResources]

Thanks for your comments

[@skrish444]

Excellent mam........

[@zematirekatube7869]

i have got a lot from you r video ..thanks and keep it up

[@TradelinksResources]

thanks for your comment

[@baskaranranujan7234]

Superb and Useful Thanks a lot

[@TradelinksResources]

thanks for your comment

[@anilbabudaggu]

Excellent way of explaining payments in exports.

[@TradelinksResources]

thanks for your comment

[@rajabconstructionco.9973]

Very good information helpful valuable video Relating to International business Trends sir Good Bless you sir I love my india 🇮🇳

[@awnialazzeh595]

it is great....

[@TradelinksResources]

thanks for your comment

[@bhupalsth9128]

Thank you

[@lovingatlanta]

👍Thank you for sharing your knowledge sir.
👍Thank you miss.

[@TradelinksResources]

thanks for your comment

[@nanooviswanadhan]

very good,really useful

[@TradelinksResources]

thanks for your comments

[@valerijzviozdkin5780]

Наличка,вот лучший способ:)Cash,the best method to pay:)

[@harbakshsuppal2847]

very good thanks

[@TradelinksResources]

thanks for your comment

[@NiazAhmedHasib]

Thank you so much

[@TradelinksResources]

thanks

[@jawaharvenkat2676]

It was a clear explanation on international payments.. It would be nice if u post a video on bill of lading types with example..

[@TradelinksResources]

thanks for your comment, yes I'm currently working on a video on the types of bill of lading with the example

[@kuniyazu]

thank you. from Sabah

[@TradelinksResources]

thanks

[@richardadamwais9734]

thanks it was accurate but both of method there is risk of delaying payment if importer or exporter delay the goods or money what will they do to claim their money and goods because there isn't insurance

[@sulaimanarif4433]

Good day Mr Billy Fong. Kindly send me link of your lecture on Pitfalls and Traps in International Trade, please. God bless

[@lakhamelegal4129]

Very nice information relating to international trends

[@TradelinksResources]

Thanks for liking

[@goodluckndumanya3936]

God bless you

[@TradelinksResources]

thanks !

[@rajalakshmi9170]

All videos are easy to understand. Nice explanations. Thank u so much. Can u please teach about ucp 600 articles with explanation

[@TradelinksResources]

thanks for your comment

[@lynmarymufundisi5499]

thank you so much

[@TradelinksResources]

thanks for your comment

[@chetanjoshi9952]

What is payment terms CAD in international export, how its works, please explain.

[@anthonynyello3286]

You guys are life savers 🙌🏻🔥

[@TradelinksResources]

thanks

[@Salman737317]

Please make more videos... I want to know more about this.

[@TradelinksResources]

noted

[@hussainaljamalani4270]

Hi
In advance payment and open account we don't need bank to be involved ?

[@RaviKumar-yj7hu]

Please make a video on , how freight forwarding works, from quotation to untill job finished.complete video I am expecting.

[@TradelinksResources]

thanks for your comment

[@walidkarim5966]

You are cool people ♥️

[@TradelinksResources]

thanks for your comment

[@manirao22]

Hi If I receive advance payment for export order, but later buyer wants to convert that payment as a consulting service to source the other Indian products, can one change the purpose code?

[@tahirtuma6556]

Good

[@TradelinksResources]

thanks !

[@candyk.6142]

Knowing the volatility of markets are these fixed payment or variable payments?? The cost of doing business .

[@05dec2009]

In advance payment generally the both parties agree for 30% adv and 70% again shipping documents or 50:50.
If you are exporter you must not allow Importers to handle shipping otherwise shipping company can release the BL without your confirmation.
You must instruct the shipping company or shipping agent that they should send Original BL to you. Or make a agreement with shipping agent that they will release BL only after your confirmation.

[@adityapatil5654]

Hi genius where are you from 🔥

[@internationaldiamondimport2608]

Please make more such videos in Gujarati language.

[@nwahadzhiramunenyiwa8845]

Hello Mr Billy Fog.How can I also be trained? I am based in South Africa and I am now ready to start my Importing/Exporting Business.Thanks

[@niloymahmud7004]

I can help you.

[@niloymahmud7004]

You agree import leather

[@sanahajadi6878]

Hi could some one explain to me carfuly the open account pls

[@mdsaifulislamsohel5196]

I am hoping to learn from you about international trade.

[@TradelinksResources]

sure you can learn from our online course on case studies in international trade -www.tradelinks.com.my/online-case-studies-course/

[@fakirmohammedshaikh3643]

Hello sir
I m from in India my question is how to save advance payment in import . From fake supplier

[@chetanteli2804]

How to remember ucp 600 articles

[@farhannaeem13]

You dicussed all payment terms based on Banking Channel but you never discussed Credit Insurance, Factoring. In US, Due to L/C higher cost, we never used L/C but Credit insurance. Can you please include it and explain it too ?

[@TradelinksResources]

thanks for your comments - noted

[@elizabethprosper6031]

❤

[@garimaprajapat6381]

While watching kdramas....i accidentally come to k school 😂😂

[@denisnkohnyam2756]

Thank you a lot, please can we have the same explanation in logistic course ?thank you......

[@TradelinksResources]

sorry not sure what do you mean by logistic course

[@kajolmedical9117]

sir I need a video about TT payment

[@TradelinksResources]

thanks for your comments - noted

[@trollface1994]

Wots, wong, Billy Fong ?

[@FanOfYiruma]

payment is something we must face when we go international

[@francishubertovasquez2139]

In this year of increase business activities and trade due to the presentation of many products from research and development, and the products carried by the alliances per alliance and the increasing number of investors and would be allies for the interest of both parties, and tourists influx where some of them are not tourist in purpose there's what's called the Passive Transport and Active Transport of various activities and interests, and there could be bogus would be members as spy to any alliance or within the alliance themselves already like in the saying keep your enemies closer. I would advice for each alliance to create a core allies of trusted countries and organization and filter or screen would be members because in a cell for example when hostile harmful microorganism binds in the outer cell wall for example they could carry something that could break defenses. Thats why in a intrusion battle its either a camouflaged Trojan horse or a Hannibal style accomodation schemes.

[@geetamorya5619]

👍

[@TradelinksResources]

thanks for your comment

[@raiff617]

Omg bruce lee

[@dishuization]

But you didn’t teach the last two methods

[@sgbmc6238]

For simple descriptions of methods of payment:
hubpages.com/business/How-to-Make-Payments-in-International-Trade

[@afnanajmal5981]

coronavirus

[@ivanlolpresas2856]

nice eyes baby

[@TradelinksResources]

thanks for your comment

[@matchesandgasoline1]

This fellow should show some passion - the young lady was reading form a script. As the sheep said....... BAAAAAAAAAA- D

[@TradelinksResources]

thanks for your feed back

[@shaan8032]

Thank you

[@afraasalih967]

Thank you

[@TradelinksResources]

thanks for the comment

[@dhanushgowda7269]

Thank you

[@TradelinksResources]

thanks for your comment