In today's global economy, businesses need to embrace innovation, build new business relationships, and streamline transactions. As the oldest International Department in the Gulf South, we can help you navigate the intricacies of international trade through our comprehensive foreign exchange tools, trade finance, and letters of credit and documentary collections. And as your business grows, we can offer banking solutions to complement your international presence.
The evolving global markets have opened up a world of opportunities for businesses of every size. Even for small businesses, an understanding of the foreign exchange market can provide a competitive advantage to your company. Hancock Bank is here to help.
Our International Department has a comprehensive suite of products and the experience to help your company take full advantage of those opportunities.
In today's global economy, a company's ability to compete and grow internationally is crucial. Our International Department has been facilitating the international trade of our clients for more than a century. With an extensive network of correspondent banking relationships, we have the expertise and contacts to help our customers compete successfully around the world.
Hancock Bank offers a broad range of trade services to help importers bring goods into the United States. Whether you are preparing your first transaction, or you are an experienced trader, our Trade Finance Group can answer all your questions and advise you on the best trade solutions. Services include the following:
Our Trade Finance Group collaborates with commercial lenders and business bankers to provide customized financial packages to meet our customers' international requirements for a variety of credit facilities; including accounts receivable financing, access to credit provided by foreign governments, and the issuance of letters of credit.
As an exporter, you must consider the credit risk of your foreign buyer because it is not always possible to receive cash in advance for your goods. If you are selling outside of the United States, there are several payment options available to limit your financial risk and improve your cash flow, including the following:
Whether you need financing before starting a manufacturing process or after you've made the sale, our Trade Finance Group can help find the funds you need to export successfully. We offer a host of short, medium and long term export financing programs through such federal agencies as the Export-Import Bank of the United States and the U.S. Small Business Administration, or private sector providers.
Commercial/ Documentary Letter of Credit (Import)
This service facilitates the purchase of goods from abroad. The import Letter of Credit assures the seller will be paid within the terms of the agreement, while the buyer is secure in knowing that no payment is made until all conditions have been met.
Commercial/Documentary Letter of Credit (Export)
Export L/Cs are advised by Hancock at the request of a foreign correspondent bank for the account of the foreign buyer in favor of the seller. An export Letter of Credit offers the seller the most protection available except for cash in advance.
Standby Letter of Credit
A Standby Letter of Credit, commonly called a guarantee, is written to be drawn on only in the case of non-performance of a contract or financial obligation. Companies that bid on international or domestic contracts are often required to demonstrate their financial integrity by means of a Standby Letter of Credit. Standby Letters of Credit are also useful in a variety of business transactions where a seller requests assurance of a customer's ability to meet financial obligations.
Documentary Collections (Import)
An Import Documentary Collection (IDC) is a payment method in which Hancock Bank and the exporter's bank act as intermediaries in the collection of trade payments. Typically, an IDC is a cost-effective alternative to a traditional Letter of Credit when both the importer and exporter are creditworthy and well known to one another. The exporter's bank remits shipping documents to Hancock Bank. We will then release these documents to the importer against payment in full.
Documentary Collections (Export)
In an Export Documentary Collection, Hancock Bank acts as an intermediary to control and expedite payment for export transactions. Typically, this is used when both the importer and exporter are creditworthy and are well known to one another. This service allows you to send documents directly overseas, helping you save time and get paid faster.