Skill Training
Summary of Project
Task: Please surf the Internet or browse professional books as more as possible to find various terms of payment adopted in international trade. Please collect relative information and introduce the modes of payment by PPT.
Practice Training
Situation: As we all know, terms of payment, an essential part of the process of international business plays a more and more important role nowadays. Payment for exporting is more difficult than for merely selling in the home market because the customer lives in another country. Not only does this mean that a great distance separates the exporter and his customer, but the exporter bears greater risks.
3．Accepting D/P payment
Sample
January 24, 2012
Trade Terms and Typical Sentences
Warm Up
Business Situational Design
Specimen Letters Notes
2．Master the writing contents and methods of payment letters
《商务英语函电》 Unit 8 Terms of Payment
Skill Objective
Knowledge Objective Skill Objective
Warm Up
2．Asking for easier payment
Sample
Specimen Letters
Warm Up
Business Situational Design
December 17, 2011 Dear Sirs, Thank you for your letter of 10th December, which arrived this morning. We are pleased that you have shipped our order in time but we are surprised that you still ask for payment against documents. After long years of satisfactory trade we feel that we are entitled to easier payment. We should be grateful if you could draw on us at 60 days D/A. We are looking forward to your favorable reply. Yours faithfully,
Unit 8 Terms of Payment
《商务英语函电》
Content
Knowledge Objective Skill Objective Warm Up Business Situational Design Specimen Letters Notes
Trade Terms and Typical Sentences
2．Reply to accept or reject payment by D/P, D/A and L/C
3．Use written language properly and precisely
Summary of Project
《商务英语函电》 Unit 8 Terms of Payment
《商务英语函电》 Unit 8 Terms of Payment
Specimen Letters
Knowledge ObjeFra bibliotektive Skill Objective
1. Asking for D/A payment
Sample
Specimen Letters
Warm Up
Business Situational Design
Practice Training Skill Training
《商务英语函电》 Unit 8 Terms of Payment
Knowledge Objective
Knowledge Objective Skill Objective
Warm Up
Business Situational Design
Summary of Project
Payment is an important and complicated part in the process of international trade. Generally speaking, there are three major modes of payment: namely remittance, collection and letter of credit (L/C). This unit mainly focuses on the terms of payment mostly adopted in international business—D/P, D/A and L/C. D/P and D/A are terms of payment under collection. D/P stands for Documents against Payment which calls for actual payment against transfer of shipping documents. There are D/P at sight and D/P after sight. D/A means Documents against Acceptance, it calls for delivery of documents against acceptance of the draft drawn by the seller. D/A is always after sight. Here please pay attention that payment through collection is accepted only when the financial status of the buyer is sound. L/C is the most generally used mode of payment in financing international trade which is reliable and safe for both sellers and buyers. Especially, it gives the beneficiary greater assurance of payment. L/C includes various types, such as revocable or irrevocable credits, confirmed or unconfirmed credits, clean or documentary credits, sight or usance/time credits, etc. And an irrevocable, confirmed letter of credit at sight is the most preferred L/C by the sellers. As far as the seller’s benefit is concerned, L/C is better than D/P. D/P at sight is better than D/P after sight, whereas D/P is better than D/A in international trade. 《商务英语函电》 Unit 8 Terms of Payment
October 18, 2011 Dear Sirs, Thank you for your letter of 14th October, 2011. We are pleased to know that you have adequate stock of type EM 413 radios in the warehouse, and the delivery date can be met. As the amount of the goods is less than US $ 1,000, We would appreciate it greatly if you could accept payment by D/A. We hope you could give us special consideration and look forward to your early reply. Yours faithfully,
Business Situational Design
1．Write payment letters by D/P, D/A and L/C
Specimen Letters Notes
Trade Terms and Typical Sentences