: : Trade Services for Importers & Exporters : :

: : Payment Methods in International Trade

Whether you are importing or exporting, a major consideration is how and when to release trade documentation to receive or settle payment. There are various ways to do this, each with differing levels of payment security. A range of importer and exporter products are available from FEXCO (MALTA) Limited, and our international specialists can help you choose the most appropriate one for your needs.

A simple payment order is the most common method of settling accounts in import and export transactions. International trade, however, presents its own set of risks when it comes to clearing accounts. Desires of buyer and seller do not always coincide: the buyer wants to receive his goods in short term but pay over long term; the seller wants payment to be guaranteed and to be timely.

In addition we also offer our customer a number of secure payment methods: Documentary Collection, Documentary Letter of Credit.

 ...for importers

FEXCO (MALTA) Limited offers a broad range of import services designed to help improve the way your import business settles trade transactions, while assuring payment to the seller in the exporting country. Whether you are preparing your first transaction, or you are an experienced trader, our team of specialists can answer all your questions and advise you on the best trade solutions for your deal.

  • Clean Remittance in Prepayment for Goods: The importer pays the exporter in full before shipment is made. This method is usually used only for small purchase or when the goods are built to order.  

  • Import Letter of Credit: Reduce your commercial risk and conserve your company's cash flow. 

  • Documentary Collections: Review required documents prior to paying your supplier. 

  • Clean Remittance After Buyer Receives the Goods: The contract of sale may provide that the buyer is to remit payment for the goods through a bank (by international cheque (bank draft) or SWIFT/ telegraphic transfer) when goods are received.

...for exporters

As an exporter you must consider the credit risk of your foreign buyer, but it is not always possible to receive cash in advance for your goods. If you are selling products and services abroad, there are several payment options available to help limit your financial risk and improve your cash flow.

  • Clean Remittance in Prepayment for Goods: From the exporter’s point of view the simplest method of payment is remittance (by SWIFT, telegraphic transfer or mail) through a bank on acceptance of the order, or even at some time prior to shipment of the goods. 

  • Export Letter of Credit: Get assurance, prior to manufacturing, that you will be paid for goods upon shipment. 

  • Documentary Collections: Obtain payment or acceptance of a draft before your buyer takes delivery. 

  • Clean Remittance After Buyer Receives the Goods: The contract of sale may provide that the buyer is to remit payment for the goods through a bank (by international cheque (bank draft) or SWIFT/ telegraphic transfer) when goods are received.

FEXCO (MALTA) Limited international business specialists will provide you with advice and guidance on selecting and restructuring your international receivables, as well as providing accurate and efficient processing of the transactions themselves. The ideal time to Contact Us is when you are developing new international business, so that we can work together to establish the most efficient and cost-effective method of payment for that business.

: : Next step

If you would like more information, or a visit from one of our international business specialists, please call our Trade Services at 2137 8867 or Email: tradeservices@fexcomalta.com to arrange an appointment.

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Disclosure statement:

The provision of financial services may be subject to exchange risks and exchange controls. Potential clients are advised to view the important information set out in the DISCLAIMERS section of this site, and should ensure that they read and understand the matters disclosed therein