With the continuous development of international trade, the competition in the international market is becoming increasingly fierce, and the buyer's market is becoming increasingly obvious. In terms of international settlement, the proportion of using letters of credit is decreasing year by year, and the proportion of substituting non-letters of credit is increasing year by year, so international factoring business has emerged. The introduction and development of international factoring in China will enable China's foreign trade import and export enterprises to obtain more flexible financial services and better promote the continuous development of China's foreign trade. Therefore, it is necessary for us to make a theoretical discussion on international factoring.
[Keywords:] international factoring collection letter of credit factors
Overview of international settlement methods
With the development of China's foreign trade, the task of international settlement is getting heavier and heavier. It is more and more important for the relevant personnel engaged in foreign exchange banking, import and export trade and college students majoring in international economy, trade and finance to learn the knowledge of international settlement comprehensively and systematically. On the basis of expounding the principles of international settlement bills, this paper introduces in detail the basic methods of international settlement such as letter of credit, remittance and collection, and introduces the selection and combination of different settlement methods.
Keywords: international settlement draft letter of credit
International settlement is an international banking business, which refers to the transnational (regional) currency receipt and payment activities completed by banks to pay off the international creditor-debtor relationship or transfer funds internationally. It is a form of international settlement of creditor's rights and debts arising from trade and non-trade exchanges. There are two ways of international settlement: one is commercial credit, that is, exporters and importers provide credit to each other, such as remittance and collection; The other is the settlement method of bank credit, that is, banks provide credit to pay off creditor's rights and debts, such as letters of credit and letters of guarantee.