Production Definition

Acceptance business of bank acceptance draft is in order to satisfying with the

payment demand of the customers based on the real, legal trade to produce, take the appointed, foreseeable marketing income and other legal income and others as accept fund source, to have accept business for its signed and issued bank acceptance draft.

Application Conditions:

(1) Open deposit account at our bank, legal person or other organizations of engaging operation activities according to the laws;

(2) Accord with the industry, environment protection, safety production and other policies of the nation and the credit policies of our bank;

(3) Production operation is normal, the product quality and service are better, have the capability of sustaining operation;

(4) Financial status is better, have reliable fund resource to pay the draft amount, no bad record at the bank;

(5) The other conditions demanded by our bank.

Accept Period

The longest acceptance period is no more than 6 months.

Acceptance Amount

(1) Acceptance amount is not exceeded the payable and unpaid amount under the corresponding trade;

(2)The bank acceptance draft amount of the customers at our bank should be controlled within 10% of marketing income of the last year or in the recent 12 months (up to 1 month before application). In special situation, could be broadened to 20%. The difference part of the face amount of acceptance, should demand the customer to provide full amount and effective guarantee. In normal case, our bank should transact 100% low risk bill business of cash deposit.

Accept Cash Deposit

(1) Transact acceptance business of bank acceptance draft should deposit the cash deposit not lower than 20% ratio according to the face amount, the cash deposit of bank acceptance draft is put into the cash deposit system management, take the draft as the unit special deal correspondence. And carry out special account management.

(2) Forbidden seriously to happen cash deposit special account to receive collusion with the customers, mutually embezzle among the various branch accounts and other activities. It is not allowed to pay the cash deposit ahead of time. To the difference part of cash deposit according to the ratio to deposit with the face amount of the bank acceptance draft, should demand the customer to provide full amount and effective guarantee. In normal situation, our bank should handle 100% low risk note business of cash deposit.