Discusses the most common methods of payment, such as open account, letter of credit, cash in advance, documentary collections, factoring, etc. Includes credit-rating and collection agencies in this country. Includes primary credit or charge cards used in this country.
An irrevocable letter of credit (L/C) is the instrument normally used for Saudi imports. Open account, cash in advance and documentary collections are also acceptable if both parties agree. Maximum or minimum credit terms are not required. Export Credit Insurance for political and commercial risk is available from the U.S. Export-Import Bank in Washington, D.C.
The Saudi Credit Bureau (SIMAH) is Saudi Arabia’s first comprehensive consumer-credit bureau. SIMAH was established in 2004 under the Saudi Arabia’s banking and operating regulations established by the Saudi Arabia Monetary Agency (SAMA). The providing of consumer and corporate financial information is not allowed for non-banking institutions.
Debt collection is usually undertaken by several law firms. A representative list of lawyers is available through the U.S. Commercial Service. List the most common methods of payment, including open account, Letter of Credit, cash in advance, documentary collections, factoring, etc. Include credit-rating agencies in country and collection agencies. Include primary credit or charge cards used in country.
For more information about the methods of payment or other trade finance options, please read the Trade Finance Guide available at www.Export.gov/TradeFinanceGuide.