By Need

Letter of Credit

Understand non-fund-based limits that support eligible domestic or international trade transactions.

Published by Arthlyn Editorial Team. Updated Reviewed by Arthlyn Loan Advisory Team

Check letter of credit options

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Who may consider letter of credit

  • Importers and exporters
  • Businesses purchasing goods on agreed trade terms

Common funding uses

  • Support supplier payment assurance
  • Facilitate trade transactions
  • Manage purchase and shipment cycles

What lenders and schemes may assess

  • Underlying trade documents
  • Credit limit and margin
  • Bank charges, validity, and transaction terms

Common documents to prepare

  • Applicant and business KYC, constitution, address, and ownership records
  • Bank statements, income-tax returns, GST records, and financial statements where applicable
  • Project report, quotations, licences, professional registrations, or scheme documents where relevant
  • Existing loan statements, security papers, and proof of borrower contribution if required