What Points Should We Pay Attention To In Foreign Currency Collection?

With the increasing number of international exchanges, private foreign exchange bills held by residents are also increasing.

Many residents often encounter the problem of long collection time and insufficient collection amount in the process of collecting foreign currency. For this reason, the financial advisor of Shanghai branch of China Merchants Bank gave detailed answers to the collection of foreign currency bills.

At present, many banks, such as industry, agriculture, China, construction, exchange and China Merchants Bank, have opened overseas collection bill business, which can be collected by overseas banks, travellers' cheques, personal cheques, postal checks, financial checks and so on.

From the point of view of foreign remittances, the foreign currency bill, personal cheques and traveller's cheques can be imported to handle the collection of bills, which is cheaper and more flexible than direct telegraphic pfer.

As a result of the use of wire remittance, remittances are subject to higher service charges (higher charges for telegraphic pfer by foreign banks) and post and telecommunications charges. Therefore, when the remittances do not require much time to collect foreign exchange, the collection of bills can save certain remittance fees.

Note: time needed for collection of bills.

Due to the prompt payment by mail, the drawer needs to confirm the bill, so it takes a long time.

According to the difference between foreign banks and bills, the time required for collection of bills is different.

Generally speaking, the collection of US dollar bills in the US area takes about two weeks.

The collection of small currencies takes longer.

Foreign exchange collection is subject to supervision.

According to China's foreign exchange policy, the amount of residents' collection is more than 2000 dollars equivalent. After the account is entered, it is necessary to declare the balance of payments. If the collection is successful, the settlement of foreign exchange is directly processed. The equivalent of more than US $10 thousand or less is required to provide evidence of the source of income.

More than 200 thousand US dollars shall be examined and approved by the foreign exchange authority by oneself.

The names of bills and documents need to be consistent.

The name of the payee on the bill must be consistent with the name of the payee's valid certificate.

If the name of the payee is Chinese Pinyin, it must be in conformity with the name of the certificate. If it does not match, in order to ensure the interests of the payee, it must be confirmed by the certificate of the issuing unit or the sub district office or the certificate of the lawyer's office and the notary office to confirm the real name of the payee.

Many customers often complain why the remittance received is less than the denomination after the collection fee is charged to the collection bank.

Financial experts explain that this is mainly because in the collection way, the issuing bank and the central bank often charge a fee from the amount of remittance.

If there is an account relationship between the issuing bank and the collection bank or the remittance path is relatively smooth, the relevant deductions in the collection process can be avoided or reduced during the collection process.

Generally speaking, the bills in other countries and regions may be deducted from the corresponding fees except for the US dollar bills and the Hongkong dollar notes issued by the United States.

Some of the tricks of the game are obvious. It is obvious that it is the uncertainty of slow and pfer fees that plagus customers to deal with foreign exchange collection.

In fact, the main factor affecting the collection speed and cost is the choice of the ticket bank.

If the issuing bank directly or indirectly has a collection agreement with the relevant banks in the mainland, or has an account with the relevant banks in the mainland, it can avoid or reduce the corresponding intermediate deductions, so that the customers can enjoy more benefits.

For this reason, the financial advisor of the China Merchants Bank advises clients to hold as many checks or drafts as possible from overseas branches of domestic banks.

If there are no branches of domestic banks, they can understand the account lines of each currency before remittance, and the bills are lower and the time is shorter.