How an LC Purchase Works With Us
- Agree the vehicle and price. We source the car or commercial vehicle to your specification and send a proforma invoice with the full specification, price and shipping terms (usually CIF to your port).
- Your bank issues the LC. You apply to your bank for an irrevocable documentary credit in our favour, based on the proforma invoice. The issuing bank must be one approved by our UK bank — tell us your bank before you apply and we will confirm it.
- We check the LC terms. Before we commit to the vehicle, we review the LC wording with our bank so the documents required, shipment date and expiry date are achievable.
- We ship and present documents. The vehicle is exported and we present the required documents — commercial invoice, Bill of Lading, insurance certificate, Certificate of Origin, packing list and any inspection certificates the LC asks for.
- Payment is released. Once the documents comply with the LC, the banks release payment. You receive the documents to clear the vehicle at your port.
Important: Bank Approval
We can only accept a Letter of Credit issued by a bank that our UK bank approves. Please send us the name of your bank at the start, before you pay any LC opening charges, and we will confirm whether it is accepted.
No LC? Deposit and Balance
If you are not using a Letter of Credit, we also work on a deposit and balance basis: a deposit secures the vehicle, and the balance is paid before the vehicle is shipped. We send photos, inspection information and documents throughout, so you can see the vehicle before the balance is due.
| Option | Best for |
|---|---|
| Letter of Credit (LC) | Importers whose bank or central bank requires LC payment for vehicle imports, trade buyers, fleet and commercial orders |
| Deposit and balance before shipping | Private buyers and dealers buying without an LC |
Markets Where LCs Are Common
We most often see Letter of Credit payments from buyers in Sri Lanka, Bangladesh, Pakistan, Nepal, Kenya, Tanzania and other markets where vehicle imports are paid through the banking system. Trade buyers in Thailand, Malaysia and Indonesia also use LCs for larger orders.
LCs work for single prestige cars and for commercial vehicle and fleet orders — trucks, vans, pickups, buses and plant.
Documents We Provide
- Proforma invoice for your LC application
- Commercial invoice
- Bill of Lading (sea freight)
- Marine insurance certificate (on CIF terms)
- Certificate of Origin
- Packing list
- V5C / export evidence and any pre-shipment inspection certificate your country requires
Tell us what your LC and your import authority require and we will confirm we can provide each document before the LC is opened.
Frequently Asked Questions
Do you accept a Letter of Credit from any bank?
No. The LC must be issued by a bank that our UK bank approves. Send us your bank name before you apply and we will confirm whether it is accepted.
What type of LC do you need?
An irrevocable documentary Letter of Credit in our favour, based on our proforma invoice. We review the LC wording with our bank before committing to the vehicle.
Can I pay without a Letter of Credit?
Yes. We also work on a deposit to secure the vehicle, with the balance paid before shipping.
Can I use an LC for commercial vehicles and fleet orders?
Yes. LCs are common for trucks, vans, pickups, buses and plant, including multi-vehicle orders.