You are here:
Letters of Credit
Commissions and Charges for Letters of Credit
Commissions are charged for services rendered in order to offset credit and settlement risks, and to cover the cost of providing collateral.
Unless stipulated otherwise in the letter of credit, these commissions are charged to the seller. If the letter of credit stipulates that the charges are to be borne by a party other than the buyer and if these charges cannot be collected, the buyer is ultimately held liable for their payment (Article 37 of UCP – Uniform Customs and Practice for Documentary Credits).
Exception: Under a negotiable credit the negotiation commission (interest) is charged to the seller unless the letter of credit explicitly states otherwise.
Advice from Our Specialists
Our hotline – 0800 880 885 – is at your service Monday through Friday, from 08:00 to 17:00. Or you can contact one of our three Trade Finance Service Centers in Switzerland.
* Telephone calls can be recorded.
Telephone 0800 88 88 74
(free of charge) *