Your way to buy 'Made in Germany'

If your business partner grants you a payment term with a due date, he can insure this credit with a Supplier Credit Guarantee. The business transaction will become more attractive for you if the German exporter can transfer his risk of bad debt losses and grant you a longer period for payment. In some cases the German exporter may have no alternative but to do this in order to obtain funding from his bank for himself. However, for the granting of a Supplier Credit Guarantee, it is important that you assist in the process by making all required documents available to our partner.

Export transactions at medium and long credit terms are frequently financed through a bank by means of a BUYER CREDIT. Normally, your German business partner will be able to arrange such a credit - do not hesitate to ask him! The German bank (but also certain foreign banks as well as all German subsidiaries of foreign banks) will grant you or a bank in your country a credit with which the purchase price you owe to the German supplier will be paid immediately upon delivery of the goods or when the rendering of services commences. Thus the pressure on the German exporter’s balance sheet will be relieved straightaway - hence the buyer credit will always have a positive effect on his liquidity. This is the key advantage for the German exporter because in contrast to a supplier credit where he grants you a period for payment, he need not refinance himself. You may frequently benefit from longer credit repayment terms when a bank is involved. BUYER CREDIT COVER protects against a possible non-payment of your loan for commercial or political reasons - for example insolvency or war-like events in your country. Frequently, banks will only grant a buyer credit if the Federal Government provides a corresponding guarantee. Thus the commitment for cover may be decisive for your import transaction to materialize. However, buyer credit cover will require a vetting of the transaction. For that both the current situation in your country and your company’s creditworthiness are material. In order to ensure a swift and smooth investigation, you should make information material available at the earliest possible.