International Trade and Payment Terms

Vocabulary flashcards covering international trade finance, letters of credit, shipping documents, and payment correspondence terms.

B/E

Bill of exchange; a financial payment document presented through a bank that can be dishonored if not settled on time.

Dishonored

The status of a bill of exchange (B/E) presented for payment through a bank that has been rejected or left unpaid.

Payment against documents

A payment condition agreed upon as a mandatory prerequisite for the release of original shipping documents.

Irrevocable L/C

An irrevocable letter of credit opened with a bank in a party's favor that cannot be amended or canceled without agreement.

Discrepancies

Differences, errors, or non-compliances between presentation documents and the strict terms of a documentary requirement or letter of credit.

Cargo on hold

A state in which the dispatch or delivery of goods is temporarily suspended pending document clearance or payment.

Outstanding amount

An unsettled or unpaid balance requiring prompt clarification and payment.

Overdue

A payment that remains outstanding past its stipulated due date by a specified number of days.

Accommodation

A concession, alternative solution, or arrangement extended to assist a business partner and support ongoing cooperation.