Bank charges on letters of credit will depend on the:
A) exporter's creditworthiness.
B) size of the transaction.
C) exporter's means of finance.
D) time taken to approve the sale.

Question

Quizplus · Accepted Answer

Banks will charge importers a fee for issuing a letter of credit. Typically this amounts to between 0.5 percent and 2 percent of the value of the letter of credit, depending on the importer's creditworthiness and the size of the transaction.

Bank Charges on Letters of Credit Will Depend on The