Home > Term: documentary collection
documentary collection
The collection of a sum due from a buyer by a bank against delivery of certain documents. The bank undertaking the collection only delivers the documents once the prescribed conditions have been fulfilled. Documentary collection offers exporters considerably more security than is offered by an open account basis, however not as much security as is offered by the documentary credit.
- Part of Speech: noun
- Industry/Domain: Banking
- Category: Investment banking
- Company: UBS
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Creator
- Stefan K
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