Deferred payment letter of credit

(Deferred payment LC).

A deferred payment letter of credit is a letter of credit payable at a predetermined future date, after the conforming documents are presented.

Deferred payment LCs are also known as usance LCs, time LCs or term LCs (contrasted with sight LCs).

See also

• Clean letter of credit
• Condition
• Confirmed letter of credit
• Confirming bank
• Conforming documents
• Documentary collection
• Documentary credit
• Irrevocable letter of credit
• Letter of credit
• Sight
• Standby letter of credit
• Trade finance
• Usance