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:
- At first, the buyer submits the details of their trade requirement in the form of ICPO, FCO, or a SPA.
- 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.
- 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.
- 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.
- 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.
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Letter of Comfort Video
BCL Issued for a Thailand Buyer
A repeated client of ours had a need for a SWIFT MT799 message. Since they didn’t have enough cash funds in their bank account, their bank was not ready to provide Comfort Letter. So, the client contacted us & we were able to facilitate their ICUMSA 45 Sugar import deal by issuing the MT799 from our own bank account by blocking our credit limit. With the BCL MT799, the client from Thailand has signed the Sugar import deal by proving their financial worth to purchase 12,500 MT of sugar per month. This is how we assisted the buyer to sign the sugar import contract.
What is Bank Comfort Letter?
Bank Comfort Letter or 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 the Letter of Comfort gives assurance to both parties in terms of POF and POP.
Only Banks with SWIFT facilities can issue this authenticated SWIFT MT799. If you require Bank Comfort Letter to prove your financial worth towards your seller and if you have enough cash funds in your account, then you can get help from your bank. If you don’t have the collateral at hand, you can make use of our trade finance services. We can provide you an MT799 without the use of your collateral or cash funds.
We can facilitate your BCL requirements by blocking our credit lines available with our European Banks. Submit your BCL requirements to us now!
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 creditworthiness proved to be negative. Further, in this situation, the buyer will lose the business. So, to win those contracts, they should try some other sources to arrange such BCL.
If your supplier asking for BCL from you, prove to 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 a POP (Proof of Product). And this helps the buyer open a Letter of Credit or Standby LC to proceed further with the import deal.
How Much Does BCL Cost?
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!
Why Use BCL MT799?
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.
Apply MT799 Swift Message
No need to worry if you face a lack of cash funds to get the MT799 from your bank. We, Bronze Wing Trading L.L.C. assist traders to avail Comfort Letter on behalf of their company without providing any collateral. By having our own credit lines available with European Banks, we act as a direct provider of Comfort Letters for our clients globally.
With 3 decades of experience, we have successfully assisted more than 25,000 clients in countries that span all over the Six Continents of the world. We work with an aim to assist our clients as swiftly as possible with their financial needs.
We have successfully assisted clients in countries that span all over the Six Continents of the World. Our aim is to assist our clients as swiftly as possible with their financial needs