Payments and collections

Fx and international transfers

Santander Bank Polska offers comprehensive tools enabling settlements in foreign currencies between accounts operated by domestic banks as well as foreign banks both in PLN and foreign currencies.

We offer:

• Transfers executed under the ordinary, urgent or express mode.
• Payments delivered via, amongst others, SWIFT, SEPA and Target2.
• Generating business account statements with full description of transactions and sending them to an indicated SWIFT address of a foreign bank. The option is available to companies which manage their funds in many countries.

Transactions in CNY

We offer:

• Mitigation of the fx risk by decreasing the number of fx conversions during one settlement cycle of a given contract.
• Possibility to carry out the CNY sell-buy transaction at the standard and negotiated fx rate.
• Current accounts operated in CNY.
• Execution of foreign payments (non-cash payment orders) in CNY at the Bank’s branches or via e-banking systems.
• Service of Trade Finance products (collection, letter of credit) in CNY.
• A transfer in CNY to a counterparty’s account is possible under the standard mode (funds get to the beneficiary's account on the second business day from the transfer day). Such a transfer instruction may be placed by the end of a day from a PLN account (the negotiated fx rate represents the basis for debiting the PLN account under the condition of specifying FXD number in electronic channels) or the CNY account (if funds are already credited to that account).

Documentary letter of credit

A unilateral commitment in writing made by the Bank who has opened the L/C (at the request and in line with instructions of the party ordering the issuance of the L/C – the Buyer) to pay or secure the payment to the L/C’s Beneficiary (Seller) of a specific amount on the condition that the L/C’s Beneficiary has fulfilled conditions which determine a payment under the L/C.

Main benefits of securing transactions by way of the L/C:

For the Buyer:

1. Protection against unjustified payment:
   Payment is made solely after the fulfilment by the Seller of requirements set out in the L/C.
2. Guarantee of timely and continuous supplies:
   The Buyer needs to specify the latest loading date to ensure the validity of the L/C.
3. Protection against the risk related to the quality of goods:
   The quality risk is mitigated by adequate selection of required documents.
4. Possibility to obtain favourable conditions of supplies:
   The Buyer may negotiate deferred payment terms by offering a safe transaction to the Seller.

For the Seller:

1. Elimination of the trading/transactional (contract) risk:
   The L/C allows to eliminate the risk of the importer’s (buyer’s) withdrawal from a transaction.
2. Possibility to obtain favourable conditions of supplies:
   The Seller may offer deferred payments to the Buyer without a risk of non-payment.
3. Possibility to avail of cheap financing:
   By way of forfeiting, the Seller may receive funds earlier than it is specified in the L/C.

Risks related to the legal system, culture, customs, language barrier are mitigated by uniform rules applicable worldwide.