Business English Letter Task5.3 Payment

Business English Letter Contents 1. Aims and Requirements 2. Teaching tasks 3. Useful sentences & Homework

Business English Letter Aims and Requirements In this chapter, students are required to grasp as follows 1. Know how to effect payment in international trade 2. Know what L/C, collection, remittance is. 3. Know the advantages of E-bank payment 3. Master some negotiation strategies. 4. Grasp some words, expressions and typical sentences on this topic.

Business English Letter Teaching tasks Task 1. Learn some basic knowledge about payment in international tradeTask 1. Learn some basic knowledge about payment in international trade Task 2 Learn some dialogues and letters of effecting payment.Task 2 Learn some dialogues and letters of effecting payment Task 3 Learn some negotiation strategies. Task 4 Useful words, expressions and sentences Task 5 Practice

Business English Letter Task 1. Learn some basic knowledge about payment in international trade Letter of Credit It is a kind of payment term, and it is an effective means to solve the commercial credit crisis between buyers and sellers. L/C is a bank credit, and its development impels the development of international trade.

Business English Letter Collection Payment is sometimes made by collection through banks under the terms of Documents against Payment (D/P) or Documents against Acceptance (D/A). There are D/P at sight and D/P after sight. D/A is always after sight. Under D/P payment method, the seller instructs his bank to send the documents, along with the draft, to the buyer’s bank or to a correspondent bank in the buyer’s vicinity. He also instructs the receiving bank to present the draft to the buyer for payment. When the buyer pays the sight draft, the instructions state that the correspondent bank is authorized to release the accompanying documents to the buyer. The buyer obtains the title documents, namely the negotiable bills of lading, only after he pays the sight draft.

Business English Letter E-bank payment—Alipay Alipay was created by Zhejiang Alipay Internet Technology Ltd., a division of famous B2B website Alibaba.com specializing in service of online payment. It follows a direction of offering kinds of safe, convenient and personal online payment solutions for Chinese E-commerce. Online Payment was approved by banks for its advanced technology, risk management and control in E-commerce area. Recently, it established strategic cooperative relations with Industrial and Commercial Bank of China, Agricultural Bank of China, Construction Bank of China, Communication Bank of China, Merchants’ Bank, etc.

Business English Letter Task 2 Learn some letters of effecting payment. Urging Establishment of L/C Dear James We refer to the 1,500 dozen shirts under our S/C No. TS121 and wish to point out that the time of shipment is approaching, but there is no indication that relative L/C covering the above goods is applied. Please do your utmost to open L/C without delay. We should like to make it clear that the content of L/C should be in conformity with the terms of the contract so as to avoid further amendments. We are waiting for your earlier favorable reply. B.Rgds Wang Jie WF Garments Corporation

Business English Letter Writing skills –Commodity and contract No. –L/C is not opened –Shipment ready –Urge to open –Severe result of delay establishment –Other requirements –Wishes –Contact information

Business English Letter Specimen Letters Amendments of L/C Dear Mr. James, Thanks for your effort. We received your L/C No. TS-345 against our S/C No. TS121 just this morning. On perusal, we find that there are still certain clauses, which do not conform to those of the contract. Hereby we list the discrepancies for your attention. The contract No. is TS121 instead of TSI21.As direct steamers to your port are few and far between, we have to ship via Hong Kong more often than not. Therefore, please amend your L/C by stating “Transshipment allowed.” We hope you will make the necessary amendments immediately so that we can ship the goods in time. Your prompt attention to the above will be appreciated. Best regards Wang JieWF Garments Corporation

Business English Letter Writing skills –Thanks –Received the L/C –Discrepancies –Asking amendments –Wishes –Contact information

Business English Letter Task 3 Learn some negotiation strategies. Safe Payment Strategies of E-bank Firstly, pay attention to the following to guarantee safety of your E- bank: Don’t input any personal information in Internet cafes or other person’s computers. Never reveal any personal information including ID number to others if it is not necessary. Set the E-bank entrance password and the E-bank transaction password to be two independent and different passwords. Furthermore, most of E-banks have and have been developing safe encryption ways. New version E-bank of Construction Bank has added password control, safety control and preset false- prevention information verification, E-bank pause service of safety measures. Combined with the former safety measures of double passwords protection, E-certificates, dynamic password card, the customers’ information and E-bank funds will be protected in a maximum way.

Business English Letter Task 4 Useful words, expressions and sentences Words and expressions 1. Payment terms Sight L/C; 即期信用证； Time or Usance L/C; 远期信用证； Revocable and Irrevocable L/C; 可撤销和不可撤销信用证； Unconfirmed and Confirmed L/C; 不保兑和保兑信用证； Transferable and Non-transferable L/C; 可转让和不可转让信用证； Documentary and Clean L/C; 跟单信用证和光票信用证； Revolving L/C. 循环信用证。 D/A 承兑交单 D/P 付款交单 D/P at sight 即期付款交单

Business English Letter 2. Banks Merchants' Bank 招商银行 Bank of China 中国银行 Industrial and Commercial Bank of China 中国工商银行 Agriculture Bank of China 农业银行 Construction Bank of China 建设银行 Citi Bank 花旗银行 Communications Bank of China 交通银行 Pudong Development Bank 浦东发展银行 Shenzhen Development Bank 深圳发展银行 HKBC 汇丰银行 Standard Chartered Bank 渣打银行 The CITIC Bank 中信银行

Business English Letter Sentences The buyer suggested D/A as the terms of payment, but the seller was unwilling to make any exception. I suppose D/P or D/A should be adopted as the mode of payment this time. Our term of payment is confirmed and irrevocable letter of credit. You must be aware that an irrevocable L/C gives the exporter the additional protection of banker's guarantee. For payment we require 100% value, irrevocable L/C in our favor with partial shipment allowed clause available by draft at sight. The beneficiary of the L/C is to be China National Corporation, Beijing. Many banks in Europe are in a position to open L/C and effect payment in Renminbi. The Barclays Bank in London is in a position to open letters of credit in Renminbi against our sales confirmation or contract.

Business English Letter Task 5 Practice Oral Practice ： Make a dialogue according to the following situations and requirements After settling the problem of placing an order, Mr. Wang, the sales manager of WF Electronic Products I&E Corporation, is going to discuss the terms of payment and the date of delivery with Mr. James. Finally, Mr. Wang accepts the terms of payment by irrevocable L/C, and Mr. James agrees to deliver the goods in the middle of June or earlier.

Business English Letter Writing practice 敬启者： 我方已收到你方有关 1000 双运动鞋信用证。经审阅，我方发 现信用证部分地方与所签合同规定不符，故请将信用证修改 如下： 1) 60 天远期信用证应改为即期信用证； 2) 信用证所述合同号码为 HN238 ，应改为销售确认书 HN238M ； 3) “ 不允许分批装运 ” 条款应改为 “ 允许分批装运 ” 条款。 希望你方尽快修改信用证，以便我方能立即装运现货。对你 方的合作，我方预致谢意。 谨上

Business English Letter The End Thank you !