A Clean Collection means that CEXIM, as instructed by the drawer (our customer), handle a collection business of financial documents without any other commercial and transport documents being part of the presentation.
The documents involved in a clean collection include bill of exchange, promissory note and cheque.
Benefits for Drawers Simple and Fast: It takes less time to collect the proceeds and credit the account;
Low Cost: The bank charges for clean collection service are relatively lower;
Securing the Collection of Proceeds: The international banking network can effectively reduce the risk in payment collection.
When Do You Choose Clean Collections?
Clean collection could be used if it is hard to provide commercial documents in a transaction such as mailing samples, high-tech products (software) trade, payment for the contract balance, seasonal commodities trade, and intangible trade including services and technology transfers.
Clean collection can be used for collection of bills or other valuable papers which are in convertible currencies under trade or non-trade items;
Collection cannot be used for bills marked with restricted negotiation or restricted areas of negotiation;
The risk of fraud is higher in the bills with following characteristics: endorsed; large-amount and used for investment, loans and pledge; unfamiliar and of huge amount; issued by a bank with suspicious creditworthiness;
If you have doubt as to the authenticity of the bills you received from abroad, you can bring the bills to our bank for checking and instruct us to make an enquiry to the issuing bank.