Methods of payment

NAB provides a range of trade payment services and facilities to ensure your trade transactions meet your business needs. Your method of payment choice is likely to be influenced by whether you are importing or exporting.

Methods of payment and level of risk:

Exporter/Seller Methods of payment Importer/Buyer Low risk Prepayment Remittance from the importer/buyer prior to shipment by exporter/seller By telegraphic transfer or international cheque. High risk Documentary credit Issuance of sight or term documentary letter of credit with payment by drawing under the Letter of Credit. Documentary sight bill Documents against payment (D/P Bill). Documentary term bill Documents against acceptance (D/A Bill). Shipment on open account Payment by the importer/buyer after delivery of goods. By telegraphic transfer or international cheque. High risk   Low risk