Credit rating is an assessment of the creditworthiness of individuals and corporations. It is based upon the history of borrowing and repayment as well as the availability of assets and extent of liabilities. A credit rating tells a lender or investor the probability of the subject being able to pay back a loan. However, in recent years, credit ratings have also been … [Read more...] about What are the Features of Credit Rating?
Investment & Earning
16 Key Pros and Cons of Hire Purchase in Business
Hire purchase means hiring an asset for a period of time and at the end of the period, purchasing the same. Actually, this is time-sharing of the asset- the person hiring the asset acquires its possession and the right to use it. As aa legal device it is being used for financing capital goods such as industrial finance, financing of consumer goods, and selling consumer … [Read more...] about 16 Key Pros and Cons of Hire Purchase in Business
7 Main Types of Post Shipment Finance in Exports
Post shipment finance is provided for bridging the gap between the shipment of goods and the realization of export proceeds. The later is done by the banks by purchasing or negotiating the export documents or by extending against export bills accepted on a collection basis. While doing so, the banks adjust the pre-shipment advance, if any, already granted to the … [Read more...] about 7 Main Types of Post Shipment Finance in Exports
What is Pre-Shipment Finance in Exports? and its Types
Pre-shipment finance is given for working capital for the purchase of raw material, processing, packing, transportation, warehousing, etc., of the goods, meant for export. Pre-shipment is also referred to as “packing credit”. It is working capital finance provided by commercial banks to the exporter prior to shipment of goods. Pre-shipment finance is the financial … [Read more...] about What is Pre-Shipment Finance in Exports? and its Types
12 Forms and Functions of International Banking
International banking services provides retail, commercial, corporate, and trade finance services to clients around the world through branches, agencies, representative offices, subsidiaries, and affiliates. International banking services can make international transactions more efficient and secure. Functions of International Banking The functions of international … [Read more...] about 12 Forms and Functions of International Banking