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

Explain the typese of customers, Q. Explain the typese of customers? O...

Q. Explain the typese of customers? One group can include the price-sensitive ones called the transactional ones. In India this segment exists in mainly product categories ra

Market Segments and Sizes, Is it possible to share some insight on various ...

Is it possible to share some insight on various market segments in Indian mobile phone industry and their respective sizes

Buying centre concept, Q. Buying centre concept? Applying the buying ce...

Q. Buying centre concept? Applying the buying centre concept The decision-making unit in a purchasing organisation consists of the buying centre. This is invented of the dec

Filing claims, Filing Claims : The insured will file claim with the insura...

Filing Claims : The insured will file claim with the insurance company after meeting the aforementioned requirements. The insurance company is generally contacted immediately on d

Duty exemption scheme, Duty Exemption Scheme: The Duty Exemption scheme co...

Duty Exemption Scheme: The Duty Exemption scheme consists of Duty Free Licence and Duty Entitlement Pass Book. Duty Free Licence includes Advance Licence, Advance Intermediate

Advance against bills sent on collection, Advance against Bills Sent on Col...

Advance against Bills Sent on Collection : Post-shipment finance is granted against bills sent on collection basis in the following situations: i) When the accommodation availa

Swot analysis, Describe video games market segmentation  Segmentation cr...

Describe video games market segmentation  Segmentation criteria -Do SWOT analysis (Nintendo, Sony/Playstation, Microsoft/Xbox) -Define and describe Nintendo Wii Target mar

Internet advertising techniques, Question 1 Write a short notes on:    ...

Question 1 Write a short notes on:                     A. Internet Advertising Techniques                     B. Difference between traditional marketing and e-marketing

International trade theory, explain the opportunity costs theory and nature...

explain the opportunity costs theory and nature of the opportunity costs ?

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

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