Production definition:

Confirming storage business refers to that it is a specific note business service,  to take credit of bank as a carrier, to take acceptance draft as settlement tool, control the cargo right by our bank, the seller (or storage side) is entrusted to keep cargo, for the beyond amount part of acceptance draft cash deposit, the seller will take cargo buy-back as the guarantee measure, the buyer bursts into bank acceptance draft, once hands in the cash deposit, he can pick up the goods.

Suitable range

(1) The product belongs to a large amount of cargo, easy to sell off, the value is relatively steady, and the commodity of strong marketability;

(2) Select the seller of strong strength, better prestige, hope to support its dealers with the help of the bank, and rapidly enlarge marketing scale;

(3) The main target profession: such as rolled steel, petroleum goods, automobile, construction materials, household appliance, tires, tobacco, and others as well as encouraging professions of the policies of the nation.

Application conditions

(1) The buyer and seller must be satisfied with the legal person customers

admittance conditions;

(2) Have the independent legal person qualification, the buyer or the seller is not the holding company and attached organ of the other side or the inner member enterprise of the group company;

(3) Both the buyer and the seller are not the marketing relations mutually, that is one side is dealer of another side, and also is the debtor of the opposite side;

(4) Both the buyer and seller’s supply and demand relation is steady, the both sides to set up buying and selling relation is above 2 years (including), the annual trade amount of the both sides is above 5 million Yuan (including), and the buying and selling amount is steady, in the foreseeable future, the both sides will have no unfavorable tendency in the important profession, technology, production and market and so on;          

(5) At present between the both sides of the buyer and seller have not any problematic dispute and claims and debts dispute;

(6) The both sides of the buyer and seller have the better prestige and record of carrying out the contract, no exceed the time limit and debit interest of the bank loan;

(7) Provide real commodity marketing papers and situations to our bank;

(8) The credit grade evaluation will be carried out according to the related regulations of our bank.

Confirming storage limit

In accordance with the conditions to handle “confirming storage”, based on the every year’s production capability, marketing ability, stock turnaround rate as well as the capability of carrying our the contract and so on of both the buyer and seller, according to the regulations of credit management of our bank, check and ratify buy-back guarantee limit under “confirming storage” to the seller, check and ratify bank acceptance draft limit under “confirming storage” to the buyer.

Confirming storage period

The valid period of “confirming storage” credit line is not over 1 year, “confirming storage” credit line within the valid period of the credit extension

could be duty-cycle operation, If the any side of the seller and buyer happens the situation of not carrying out the contract, should stop to handle “confirming storage” business to it.