OUR BUYER IS USING THE EUROPEAN VTEX TRANSFER METHOD, THIS IS SIMILAR TO MANY PROCEDURES IN USE TODAY, BUT IT SIMPLIFIES EVERYTHING TO A ONE CONFERENCE CALL APPROACH WHICH IS FASTER AND MORE SECURE.
THE KEY CALL, WILL NOT BE MADE OF COURSE, UNTIL THERE HAS BEEN AN LOI AND FEE PROTECTION AGREEMENT (FOR BUYER'S SIDE ONLY) AND NCND (IF REQUESTED) SO THAT THERE CAN BE DIRECT ACCESS TO SELLER'S MANDATE.
SELLER SENDS UNSANITIZED F.C.O.
BUYER WILL ISSUE A RWA CONFIRMING PRICE, OUR TERMS AND CONDITIONS, AND PROCEDURES, WITH THE NAME AND INFORMATION OF THE BUYER'S BANK, WHICH CAN BE DIFFERENT DEPENDING ON THE CURRENCY.
DISCOUNTED CURRENCY PROVES AND MOVES FIRST. SELLER'S BANK OFFICER INITIATES CALL TO BUYER'S BANK, OR IN SOME CASES ACCEPTS A CALL FROM BUYER'S BANK OFFICER.
SELLER REPLIES BY A DOCUMENT TITLED AS "LETTER OF INTENT" AND SUBTITLED "PRIVATE EXCHANGE AGREEMENT". THIS L.O.I. SHALL ALSO CONTAIN FULL BANKING OF THE SELLER, GIVING BUYER'S BANK THE RIGHT TO ASK SELLER'S BANK TO VERIFY NON-CRIMINAL ORIGIN AND AUTHENTICITY OF THE L.O.I.
THE L.O.I MUST BE SENT TO THE BUYER'S LEGAL MANDATE BY FAX AND THE ORIGINAL BY DHL DIRECT TO THE BUYER. THE BUYER'S BANK WILL NOT ACCEPT FAXED COPIES AS ORIGINALS.
WHEN VERIFIED AND ACCEPTED BY THE BUYER'S BANK, THE TRANCHE SCHEDULE WILL BE AGREED TO.
SELLER'S BANK SENDS DISCOUNTED CURRENCY BY CONDITIONAL MT 100 FIELD 72.
BUYER'S BANK RESPONDS WITH UNCONDITIONAL MT 100 FIELD 70, WHICH RELEASES HOLD ON FIELD 72.
AS USUAL, THE MANDATE WILL ISSUE FEE PROTECTION FOR THE BUYER'S SIDE FIRST, AFTER THE SELLER HAS AGREED TO THE ABOVE PROCEDURES. (FPA CAN BE ISSUED PRIOR TO F.C.O. ONCE THE ABOVE PROCEDURE IS ACCEPTED)
NOTE:
IT IS ESSENTIAL THAT WE (THE BUYER'S SIDE) RECEIVE A WRITTEN INDICATION THAT AN OFFER IS AVAILABLE PRIOR TO INVITING THE INVOLVEMENT OF THE BUYER'S MANDATE. WE HAVE MORE THAN COMMISSIONS TO LOSE, WE HAVE OUR EARNED REPUTATION AT STAKE ALSO. PLEASE RESPECT OUR POSITION AS WE WILL YOURS.
THERE IS NEVER MORE THAN ONE BROKER BETWEEN eXus AND THE BUYER'S MANDATE.
IF THE REUTERS SYSTEM IS USED INSTEAD OF THE VTEX METHOD, IT PROVIDES ADDITIONAL SECURITY AND AUTHENTIC IDENTIFICATION BETWEEN BANKS (IT USES A WINDOW TIME SHEET CODE) AND IS FASTER THAN A SWIFT OR K.T.T. CONFIRMATION.
