Term of payment:

One    Remittance

1 Mail Transfer,M/T

2 Telegraphic Teansfer, T/TT/T before shipment and T/T after shipment

(3) Demand Draft,D/D

Two    Colletion

1 Documents against Payment,D/P:D/P sight and D/P after sight

(2) Documents against Acceptance,D/A

Three    Letter of creditL/C

Four   Factoring

Five   Guarntee

We usual used Remittance,Colletion,L/C.

For the buyer,they like to use T/T after shipment and D/A

For the seller,they like to use L/C,T/T befor shipment and D/P

Above are my personal thoughts.If there is anything wrong, please forgive me.

what is the exactly answer

L/C,but expensive of the Bank charges
T/T

What is XYZ? Codes Code words. Are you people crazy? After Z you fall off the end of the world. Is this any good way of doing business?

If  you want to do business with foreign friends , you must  learn more abbreviations .

buzhidao

Mostly people use

EXW=EX Works(… named place)
FOB =Free on boad(… named port of shipment)
CFR=Cost and Freight(named port of shipment)
CIF=Cost ,Insurance and Freight(…named port of shipment)

reply

Of late, I have come across incidents of some of the SE Asian importers insistence that goods be shipped DDU (Delivered Duty Unpaid). I would like to make a point here that this may prove to be a costly affair especially when we counter some hardship at destination ports where uncertainity dawns every now and then. Add to this, strangely some importers when asking for DDU, also insist on higher % ge of Performance Bond which makes us think that we might as well be in for a big surprise. BETTER BE CAUTIOUS in such cases.
-S.Baskaran, Chennai, India.