Relying on the ELectronic Commercial Draft System (ECDS),the Electronic commercial draft is produced in the form of data message, commissioned payer in the specified date to pay a bill unconditionally to the payee or bearer. Different electronic commercial bills can be divided into electronic bank acceptance bills and electronic commercial acceptance bills.
2）product applicationThe enterprise can process the following products/services through the electronic commercial bill system of our bank:
—acceptance of electronic bank acceptance bill
—Electronic commercial bill discount
—electronic commercial bill of pledge
—electronic commercial bill pool
Promoting capital turnover
NCB (China) can provide enterprises with bank/ commercial acceptance bill related services. In the premise of ensuring the establishment and performance of the agreement between the seller and the buyer, we can promote corporate capital turnover through draft transfer, discount and pledge during the validity period of the bill.
Reducing payment risk
It can reduce the amount of counterfeit notes or clone notes through electronic channels.
Improving the efficiency of capital use
NCB (China) provide enterprises with bank notes pool through electronic channels, which can facilitate the efficient management of corporate bill resources and funds, reduce financing cost, and improve efficiency.
Time saving
Online banking clients can conduct electronic commercial draft services through electronic channels when opening corporate online banking and signing service agreement, excused from queuing.
Q&A1、What should be noted in the circulation of electronic commercial bills?
Electronic commercial draft is a virtual note without physical objects, which can only circulate in the electronic channel. Please make sure that the bill collector has opened electronic bill service as well.
2、What are the conditions for the operation of electronic commercial bill ?
（1） online banking commercial bill service has been opened;
（2）the service agreement of electronic commercial bill has been signed.
Some products/services are only provided when enterprises obtain the credit line of NCB (China), please contact your account manager for details.
3、What is the longest term for an electronic commercial bill to be issued?
the longest term for a traditional paper note is 6 months, and for electronic commercial draft, the longest maturity is 1 year. you can select the due date when inputting the electronic commercial draft according to the actual trading deadline or agreement with NCB (China).
4、How to collect matured electronic commercial bill?
When the electronic commercial draft becomes due, the holder should initiate prompt payment application in the online banking "commercial drafts> presentment for payment". The presentment for payment of electronic commercial draft is an electronic instruction, which would be sent on the maturity date and arrive in real time.
5、How to confirm the discount rate when initiating the discount application for electronic commercial bill?
The discount rate for electronic commerce bill should be discussed and confirmed with our customer manager in advance, otherwise the system will return the application.
6、How to discern the authenticity of electronic commercial bills?
The ECDS, as the only electronic bill data storage system, ensures the uniqueness, integrity and safety of electronic notes.
7、How to deal with problems in operation?
Please check the entry guide for electronic commercial bills.
The acceptance of bank acceptance bill is a business conduct that issued by the drawer, and promised by the bank to pay unconditionally the payee or bearer the draft amount at the maturity date.
product features:（1）relying on bank credit;
（2）the acceptance term of paper notes shall not exceed six months, and the acceptance of electronic notes shall not exceed one year.
1、conditions for issuing bank acceptance bills
（1）the issuer of the bank acceptance bill must be a legal person and other organization that has opened a deposit account at the acceptance bank;
（2）when issuing a bank acceptance bill, it requires a true trade background that relevant documents such as sales contract and invoices can be provided.
2、Procedures for issuing bank acceptance bills
（1）the applicant should sign the acceptance agreement of bank acceptance bill with our bank.
（2） under the agreement, the applicant shall submit the following documents to our customer manager when applying for a bank acceptance bill:
• the application form of the acceptance of bank acceptance bill (with a list of bills);
• the original and photocopy of purchase and sale contracts, VAT invoices or plain invoices. If the invoices cannot be provided immediately, it should be returned within three months after the invoices are issued;
• a seal reserved in our bank;
• the original and copy of valid documents of the person in charge;
• other materials required by our bank.
（3）after the above documents are fully provided and verified by our bank, we would draw bank acceptance bills immediately.
Note: please confirm that your company has sufficient funds in the bank account for remittance and service charge before drawing a bill.
Banker's acceptance bill discountBanker's acceptance bill discount means a financing operation that a bearer of commercial bill transfers the bill to NCB (China) for cash with interest discounted from the face value before maturity date of the bill, a way of financing from the bearers by the bank.
commercial bill discount product definition:The holder of a commercial bill may transfer the outstanding commercial bill held legally to the bank, and the balance shall be paid to the holder after the discount interest is deducted on the coupon.
Classified by the acceptor, commercial bill discount can be divided into commercial acceptance bill discount and bank acceptance bill discount.
The discount term of paper bills cannot exceed 6 months, and the discount term of electronic bills shall not exceed 1 year.
applicable objects:legal persons and other economic organizations with discount needs that open deposit accounts in our bank and engaged in business activities in accordance with the law, having real trading relationship with issuers or remote holders.
Operation process（1）the client requests for a discount application, signs the discount agreement with us, and provides the following relevant documents:
- discount application form
- documents that can verify the authenticity of trade background, such as contracts for trade in goods or services, VAT invoices or plain invoices.
- the original and copy of the letter of authorization and identity card of the person in charge;
- outstanding commercial bills (not provided under electronic bills);
- financial statements;
- other documents to be provided.
（2）after the approval of our bank, the relevant discount procedures shall be handled;
（3）we will pay the bill to the customer in advance after deduction of discount interest.
The discount applicant (the client), its agent (typically the issuer), and the discount bank would sign a tripartite agreement. The discount applicant entrusts its agent to deal with the discount process in the discount bank. The discount amount would be paid straight to the discount applicant after approval of the discount bank.
Commercial bill agency discount can be divided into commercial acceptance bill agency discount and bank acceptance bill agency discount.
（1）The client shall not apply for a discount directly to the bank. The agent may apply for a discount to the bank within the agent amount agreed in the tripartite agreement,
（2）The agent discount product is limited to paper commercial bills.
（1）the client requests for a n agent discount application, signs the agent discount agreement with us, and provides the following relevant documents:
- the letter of authorization for agent discount
- documents that can verify the authenticity of trade background, such as contracts for trade in goods or services, VAT invoices or plain invoices.
- the original and copy of the letter of authorization and identity card of the person in charge;
- outstanding commercial bills;
- financial statements;
- other documents to be provided.
（2）after the approval of our bank, the relevant discount procedures shall be handled;
we will pay the bill to the customer in advance after deduction of discount interest.
We provide a package of management, settlement and financing services to corporate customers (including group customers), such as note identification, bill custody, search and retrieval, trust collection, and bank notes pool pledge.
product features:（1）promote the group's unified management of subsidiary corporations’ notes and improve the efficiency of capital management.
（2）provide support for the operation that paper bills and electronic bills can enter the pool at the same time, which is convenient and safe.
（3）effectively speed up the turnover rate of holding notes, reduce financing costs and raise corporate capital gains.
（1）enterprises with large settlement amount of commercial bills in trade activities.
（2）group enterprises that have personalized management requirements for subsidiaries.
（3）industry core enterprises with stable supply and sale relations and daily frequent need of bill clearing.