Packing Credit is nothing but a pre-shipment finance given to exporters with a low interest rate to boost exports. A packing credit loan will often be extended if a letter of credit has been issued by purchaser of the products that is based in another country or a confirmed order for exporting the goods exists.
Packing Credit is a pre-shipment finance given by bank to procure raw materials and arranging goods ready for export.
FEATURES AND BENEFITS
- No Pre-Payment penalty.
- Eligibility on projected Turnover.
- Only opening charges applicable.
- Can also be in Foreign Currency.