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Letter of credit for business

Fair deal: no risk and no prepayment
Your transaction is risk-free

Letter of credit is a reliable way to conduct a transaction when it is important to be sure of payment and fulfillment of terms and conditions.

A risk-free transaction:

  • Payment is made only after delivery of goods/services
  • The supplier receives payment after completing the terms and conditions of the transaction


Who is a letter of credit suitable for?

  • Companies working with new counterparties;
  • Companies conducting settlements with foreign partners;
  • For large one-time transactions or regular deliveries.
Advantages of a letter of credit
Available tariff

Favorable fee — only 0.2% of the transaction amount (min. KZT 18,000, max. KZT 180,000), including VAT.

Submit online

Submitting an application in Onlinebank — quick and convenient.

Convenient

You can submit your application at Halyk outlet. You can also apply for a covered letter of credit via Onlinebank

No extra paperwork

Minimum package of documents

Types of letters of credit
Covered letter of credit

100% cash coverage

Uncovered letter of credit

Credit or pledged property is used

Partially covered letter of credit

Use of cash coverage or credit line

How to use a covered letter of credit?

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Q&A

What is a letter of credit?

Letter of credit is a safe method of payment:   payment is made only after all terms and conditions of the transaction were completed and confirmed by documents.

What is a letter of credit for?

Protects both parties of the transaction: the seller is guaranteed payment, and the buyer pays only after delivery of goods/provision of services

Who can open a letter of credit?

Any legal entity or individual entrepreneur who has a settlement account with Halyk.

What is the difference between a covered and uncovered letter of credit?

A covered letter of credit is secured by the customer's own funds.

An uncovered letter of credit is secured by a credit line.

How much it costs to open a covered and uncovered letter of credit?

Fee — 0.2% from the letter of credit amount (min. KZT 18,000, max. KZT 180,000), including VAT.

For an uncovered letter of credit, a risk fee is additionally charged – it is set individually.

For covered letters of credit in EUR, an additional fee applies.

You can find more information on the tariffs by following the link.

How long does it take to issue a letter of credit?

Up to 1 business day with a complete and correctly assembled package of documents.

What happens if the terms and conditions of the letter of credit are not completed?

The bank will not make payment to the seller.

Under a covered letter of credit, the money from the cover account will be returned to the buyer's account

How is a letter of credit better than a regular transfer?

Letter of credit ensures the safety of the transaction for both parties – the seller receives a guarantee of payment, and the buyer receives assurance that the terms and conditions will be completed.

In what currency can a letter of credit be opened?

In KZT or foreign currency, depending on the terms and conditions of the agreement between the buyer and seller.

For how long can a letter of credit be opened?

The period is set by the parties of the transaction (the seller and the buyer) and specified in the agreement.

What is the difference between a revocable letter of credit and an irrevocable one?

Revocable — can be changed or canceled without the seller's consent.

Irrevocable — only by mutual consent

Is it possible to open a letter of credit online?

Yes. You can issue a covered letter of credit in Onlinebank Halyk — go to the section

“Products and Services → Guarantees/Letters of Credit → Issue a Covered Letter of Credit.”

What does a seller need to do to receive money under a letter of credit?

Submit to Halyk documents confirming the shipment of goods/provision of services specified in the letter of credit.