Documentary Operations

If you are engaged in international trade, sell or purchase real estate, your transactions will be more secure using documentary operations.

Regardless of whether you are an importer or exporter, our team of professionals will help you assess the risks and choose the best form of making settlements in international trade.

Using our documentary operations, you can obtain additional financing for your business, overcome mistrust between buyer and seller, protect yourself against business risks, avoid problems associated with export and import transactions in areas with higher political, economic and currency risks.

Type of trade settlement and associated risks

  • Documentary Letters of Credit

    Documentary letters of credit are the safest means for international trade settlement both for importers and exporters of goods. Besides settlement using export and import letters of credit, our customers can also use transferrable and stand-by letters of credit. 

  • Documentary Collection

    Documentary collection is a method of executing trade transactions, when the two parties concluding the agreement quite trust each other and are ready to waive safety proposed by letter of credit or guarantee, but still would not like to make deliveries on an open account. 

  • Bank Guarantees

    A bank guarantee represents an irrevocable obligation of the bank to pay a specified amount of money if the party for which the bank is giving the guarantee does not fulfil its contractual obligations.

  • Escrow Account

    An escrow account provides you additional security under purchase and sale of movable property or real estate. 

  • Property in Nice

    Our client bought the property in Nice. Nice is an expensive city, where it’s not so easy to buy property, so you must comply with the terms and conditions of the sales agreement, including those relating to payment procedures, and adhere to the deadlines.
    • To pay the entire amount of the purchase the client planned to use money got from the sale of his property in Jurmala. Both copies of the sales agreement were already signed, but due to unforeseen circumstances, there was a delay in the client’s obtaining of one million euro as the security for the sale of his property. By that time the deadline for the remaining amount for the purchase of the property in Nice came; otherwise the client risked losing his pledge.

    • We were in the full control of the deal with Jurmala property sale, and we knew when the client would receive the money. So we gave him an unsecured overdraft in the amount of $ 500 thousand euros short. The loan was approved by the Credit Committee and issued to the client within two hours.

      The same day the seller in Nice received the money.

    Vladislavs Serdjuks

    Head of Private Banking Department North

  • The deal without any cause for worry

    Our client from Moscow picked out an apartment in Riga, which she planned to buy. She did not know the seller, so she asked us to help her with registration of the deal.
    • We organized a bank meeting with the client, the apartment seller and our representative. To close the deal successfully the parties agreed to use the escrow account through which our client was able to buy the chosen apartment without any worry. The seller was also satisfied with the payment procedure, because the escrow account supported his interests as well.

    • Since our client became the owner of real estate in Latvia, we also proposed to arrange the residence permit in Latvia for her family that would allow them to travel freely in the European Union. Within a few weeks this issue was successfully fixed, and our client’s confidence in our bank strengthen even more.

    Andrei Trofimov

    Head of Private Banking Department East