Definitions for "DOCUMENTARY CREDIT"
A commercial letter of credit authorising the bank to pay a designated beneficiary (typically the seller/exporter of goods) against presentation of the documents specified in the Letter of credit. Français: Crédit documentaire Español: Crédito documentario
an international payment technique consisting in obtaining payment by the purchaser’s bank (or by one’s own bank, if it is confirmed) rather than by one’s customer. It therefore amounts to an excellent guarantee, at the cost of a certain administrative complexity.