How to start using it, when the documentary collection is initiated by the seller
Agree with your business partner. Agree the conditions and payment with your business partner.
Seller dispatches the goods. Seller provides documents to the bank on the goods and instructions for collection.
Seller’s bank contacts the buyer’s bank. The seller’s bank sends the documents and instructions for collection to the buyer’s bank. The latter informs their client about the received documents, and the buyer can initiate the payment.
Buyer pays for the goods. Or accepts the bill of exchange – commits to carry out payment in the future.
Seller receives the payment / commitment to pay. When the payment / commitment to pay has been received, the buyer’s bank delivers the goods’ documents to the client.