Do you want to settle business transactions or other debts? You can do it easily through the assignment of proceeds. This happens mostly when a beneficiary transfers an amount using the letter of credit to a third party beneficiary.
We at Alliance Digital Corporation Banque, facilitate the assignment of proceeds based on the instructions provided by a beneficiary in the letter of credit. Only the right to receiving payments is transferred, however, the right of making payments remains in the hands of beneficiaries.
A key benefit of doing this is that it allows payment facilitation for the company. Alongside, once you receive the payment, we take complete responsibility to assign the proceeds. It allows the transfer of only a part of the proceeds, allowing both beneficiaries and third parties to access the letter of credit.
However, another important thing to take note of is that the financial institution is just the mediator between entities. The original beneficiary will still be responsible to carry out all requirements as specified in the letter of credit. In case, the original beneficiary fails to meet the proceedings, we will not be able to carry out the assignment.