A way for a contractor to guarantee payment to a subcontractor. When a contractor has received a letter of credit from a buyer, the contractor can then request a letter of credit to be issued to the subcontractor with the first letter of credit as collateral, ensuring the subcontractor will be paid.
Related information about back to back letter of credit:
- What is back to back letter of credit (L/C)? definition and meaning
Definition of back to back letter of credit (L/C): Arrangement in which one irrevocable letter of credit serves as the collateral for another; the advising bank of the ...
- Back to Back Letter of Credit
Back to Back Letter of Credit (BBLC) allows your supplier to secure the delivery of goods from the actual supplier.
- Back-To-Back Letters Of Credit: Definition from Answers.com
What is the difference between back to back letter of credit and transfer letter of credit? Read answer... What is the onlywordwiththree double letters back to back ...
- What is back to back letter of credit? definition and meaning
Definition of back to back letter of credit: A way for a contractor to guarantee payment to a subcontractor. When a contractor has received a letter of credit from a ...
- Dictionary of Financial Scam Terms: Back-to-back Letter of Credit
The parties to a Back-to-Back Letter of Credit are: the buyer and his bank as the issuer of the original LETTER OF CREDIT,. the seller/manufacturer and his bank, ...
- Back-to-Back Letter of Credit financial definition of Back-to-Back ...
Two letters of credit issued by two banks, one guaranteeing payment by a seller and the other guaranteeing performance by a buyer. Back-to-back letters of ...
- Back-to-Back Letter of Credit - DBS Bank
Back-to-Back Letter of Credit (BBLC). Helping you increase the efficiency of cross -border trading. Main. Overview of DBS Trade Finance · Customer Testimonials ...
- Letters of Credit.ps - Scotiabank
Back-to-Back Letter of Credit. Although not recorded on a letter of credit, “back-to- back” is a term used in transactions involving two irrevocable letters of credit.