Have you got any specific proposal about the terms of payment?
I wonder if we can make payment for this order by documentary collection.
I'm sorry to say the only term of payment we can accept is 100 % irrevocable letter of credit payable against shipping documents.
But our order this time is very large. To open an L / C for such a large amount at a bank is costly. Can you be a bit more flexible and bend the rule a little?
I'm afraid not. We insist on a letter of credit, because as seller, we also have the problem of funds being tied up.
To be frank, a letter of credit would increase the cost of my import. When I open a letter of credit with a bank, I have to pay a deposit. That will tie up my money and add to my cost.