- Credit limit here is understood as the maximum debt level is maintained within a certain period of time that credit institutions and manufacturers in the contract agreement export financing.
- According to the agreement, in some cases the credit limit be reduced gradually in each funding period.
- Or, the contract term credit limit, the exporter can just withdraw the loan, the loan has to repay.
- Or, Banks may require that the initial capital withdrawals must be repaid in full before the subsequent withdrawal, and continued so until the end of the contract term. In essence, the disbursement of this kind of revolving credit in term of the contract.
- In fact, the credit limit is granted only to customers who have a record of good export business, strictly abide calendar the repayment. At the same time, the credit limit is consistent with the operation of the export market has stabilized, often, not seasonal.
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