Bank Comfort Letter Process
To avail Bank Comfort Letter or BCL MT799 from Bronze Wing Trading L.L.C., please follow the simple process given below:
1. At first, the buyer submits the details of their trade requirement in the form of ICPO, FCO, or a SPA.
2. And then, BWT analyzes the deal between importer or buyer and exporter or supplier. Also, it will inform the party whether they are eligible to proceed further or not for their BCL Bank need.
3. If eligible, the buyer needs to sign the service agreement with us. At the same time, we will request them to pay the initial service charges to proceed with their transaction.
4. Following the receipt of the signed agreement and service charges, we will send the BCL draft for the client’s review. Meantime, we will also request the client to provide the relevant documents and pay the issuance fee.
5. Subsequently, upon receipt of issuance fee and documents, we will request our bank to issue the BCL Letter from our European bank account. Further, this BCL Bank will issued via Swift MT799 to the supplier’s account. Even more, it will not take more than 2 working days to process SWIFT Mt799.
Apply For Letter of Comfort
Letter of Comfort Video
Letter of Comfort
A Letter of Comfort, BCL MT799 is a SWIFT Notification issued by a bank upon its client’s request. This SWIFT MT799 acts as a confirmation code that assures the buyer’s financial ability to purchase goods as per the contract.
With the issued BCL MT799, the supplier gets assurance that the buyer has enough funds to proceed with the trade deal. Once the seller is satisfied with the credit strength of the buyer, they will send the POP (Proof of Product) to the buyer. And this acts as evidence that the supplier has the stocks readily available for export.
This is how Letter of Comfort gives assurance to both parties in terms of POF and POP.
MT799 SWIFT Message
When a buyer and a supplier enter into a contract for the purchase of bulk goods; the supplier may be skeptical about the buyer’s financial strength. So, the supplier may ask the buyer to provide Comfort Letters. And then to get BCL MT799 from a bank, the buyer should have enough cash funds available in their account. If so, then the bank issues such Letter of Comfort via SWIFT MT799.
MT799 is issued in favor of the supplier regarding the buyer’s ICPO. Further, this proves that the buyer has enough cash or credit line to secure the deal.
For instance: If the issuing bank rejects the BCL request of the buyer due to insufficient funds available at their account. And, the buyer fails to provide a BCL, in favor of the seller at the initial stage of signing the contract. Then, the supplier will not sign the contract of the subject goods with the buyer, as their credit worthiness proved to be negative. Further, in this situation, the buyer will lose the business; either or to win those contracts, they should try some other sources to arrange such BCL.
Prove your vendor that you’re financially capable to complete the deal by availing Bank Comfort Letters from us without any hassle. Bronze Wing Trading provides BCL to those traders who are unable to raise such BCL from their bank account.
MT799 Proof of Funds
BCL MT799 is a kind of assurance issued by a bank only to prove financial stability. Also, it is called an official notification for the Proof of Funds. Further, both buyers & sellers must understand that this MT799 doesn’t give any assurance in terms of payment or the supply of goods. Also, MT799 is not at all as same as RWA. Rather, it’s just a SWIFT Message from a bank that assures the buyer’s ability to pay for the supplied goods.
Notably, BCL MT799 has been widely used in huge commodity contracts when the seller wants to get assured of the buyer’s financial strength before signing the contract. Also, after receiving MT799 from the buyer, the supplier sends POP (Proof of Product). And this helps the buyer open a Letter of Credit or Standby LC to proceed further with the import deal.
BCL cost specifically includes commission and transmission fees. Further, these charges are paid by the buyer to the BCL issuing bank. To get more details on BCL cost, contact our marketing team. Submit your requirements to us, we will get back to you with a Free Quote!
As we know, Letters of Comfort doesn’t provide any assurance for payment. But using MT799 is the inexpensive way to enhance the credit score of the buyer’s financial profile and show their credit status for doing global trade.
Nowadays, in the US & Europe, when two business entities are signing the commodity deal, they require BCL Bank. This BCL should be enclosed with the buyer’s ICPO. If the buyer cannot arrange such BCL, then, they might not qualify to avail such a worthy commodity contract.
BCL MT799 helps to establish the comfort level between the buyer and the seller. Also, it builds a trust bridge when engaging in trade deals involving a bulk quantity of goods.
Many suppliers will request the buyers to show POF via BCL before they engage with them at the initial stage. Subsequently, the traders who are not financially sound enough may lose lucrative trade deals.
Get MT799 Swift Message
Banks will normally require some form of collateral to provide MT799 on their clients’ behalf. But, we at Bronze Wing Trading L.L.C. assist traders to avail BCL on behalf of their company without pledging any collateral.
We act as a provider of Letters of Comfort from rated European Banks. For the purpose of BCL issuance, we will instruct our Bank to send an MT799 to the supplier, on behalf of the buyer company. This will show the financial capability of the buyer for carrying out the trade deal.
As the MT799 provider, Bronze Wing Trading L.L.C. provides you an effective solution with no hidden cost. Moreover, we walk with you step-by-step to ensure you conclude your deal at the right time.
Having a profitable trade deal pending in your hand? Looking for Proof of Funds or BCL to conclude your deal?