Some banks can do it, right? This has never been touched. But there is a book about guarantee institutions, you can look it up. If your products are large-scale equipment and the like, you can also take the forfaiting business. Generally, consulting banks is the best way, at least forfaiting business banks have it.

Second, does the letter of credit belong to the supply chain financing model?

Belong to. Letter of credit financing means that the beneficiary obtains a certain proportion of funds from the bank through letter of credit mortgage.

Letter of credit financing requires that the issuing bank of the letter of credit has a good reputation, and the financing bank accepts the mortgage of the letter of credit, and the loan ratio is about 70%; The bonded warehouse is a physical mortgage, and the loan amount also needs to be discounted. Accounts receivable pledge also belongs to the same category and needs to be discounted.

3. Does the domestic letter of credit prohibit financing?

The so-called letter of credit generally refers to the documentary letter of credit. The essence of the documentary letter of credit is the written document of the issuing bank's conditional payment commitment to the beneficiary, and it is also a payment tool or method. And only when the beneficiary meets the requirements of the documentary credit and submits the documents that meet the requirements of the credit, the issuing bank will fulfill its payment commitment to the beneficiary. In other words, if the beneficiary fails to meet the requirements of the letter of credit and fails to submit documents that meet the requirements of the letter of credit, the issuing bank will not pay the beneficiary.

Therefore, the letter of credit itself is not a financing tool.

4. Can domestic letters of credit be used as mortgage financing?

This is not easy to answer. I think it depends on the bank. You can't just say domestic letters of credit or foreign letters of credit.