Running account facility-packing credit, Marketing Research

Assignment Help:

Running Account Facility: The RBI has permitted banks to grant packing credit advances even without lodgement of LIC or firm order /contract under the scheme of Running Account Facility subject to the following conditions:

i) The facility may be extended, provided the need for Running Account facility has been established by the exporters to the satisfaction of the bank

ii) The banks may extend this facility only to those exporters whose track record has been good

iii) LIC or firm order is produced within 2 reasonable period of time. For Commodities under selective credit control, banks should insist on production of LICs or firm orders within one month- from the date of sanction.

iv) The concessive credit available in respect of individual pre-shipment credit should not go beyond 180 days.

Packing credit may also be given under the Red Clause letter of credit. In this method, credit is given at the instance and responsibility of the foreign bank establishing the LIC. Here, the Packing credit advance is made against a simple receipt and is unsecured.

 


Related Discussions:- Running account facility-packing credit

Advance licence, Advance Licence: An advance licence is granted to a merch...

Advance Licence: An advance licence is granted to a merchant exporter or manufacturer exporter for the import of inputs required for the manufacture of goods without payment of ba

Consumer involvement, Consumer Involvement : Involvement demotes to ...

Consumer Involvement : Involvement demotes to a person's perceived relevance of the object based on their inherent needs and values and interests. Involvement is able to

Distinction between spot and forward rates, Distinction between Spot and Fo...

Distinction between Spot and Forward Rates : You have learnt what spot and forward rates are. Let us now explain the distinction between both rates. Spot rates are applicable on t

Marketing.., How is Markov process applied in brand switching

How is Markov process applied in brand switching

Jobbers, total jobbers in India ?

total jobbers in India ?

Explain why survey method is so popular, Explain why survey method is so po...

Explain why survey method is so popular Survey method is popular for various reasons. One of the major reasons is that data collection is a function of correctly designing and

Special contracts-export sales contract, SPECIAL CONTRACTS : You have lear...

SPECIAL CONTRACTS : You have learnt that the applicable law can be the law of either party or that of a third party. It will be the Indian Contracts Act, if Indian law will apply.

Insurance claims, INSURANCE CLAIMS : When there is a loss, the insured i...

INSURANCE CLAIMS : When there is a loss, the insured is to proceed to claim the loss recovery from the insurer. The cardinal principle about insurance claims is that the insured

State the nature of research, State the Nature of Research The nature o...

State the Nature of Research The nature of research are as below:- (1) Objective & Logical: - Research strives to be logical and objective, applying each possible test

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd