Thứ 3 - 345 - Thanh Toán Quốc Tế - Tuần 4 (2/2)

Summary

This transcript discusses the classification of bills of exchange (hối phiếu) based on various criteria such as payment terms, endorsement method, payment method, and the drawer of the bill. It highlights the differences between trade bills and bank bills, emphasizing the importance of understanding the correct terms and procedures in handling these financial instruments. The lesson also covers practical aspects of filling out and reviewing bills, with a focus on checking crucial details like payment amounts, payment methods, and validity. The lecturer stresses the importance of accuracy and attention to detail, especially when dealing with documents in English.

Takeaways

• 😀 Promissory notes can be classified based on several factors, including payment terms, transferability, and the person issuing the note.
• 😀 There are two main types of promissory notes: Commercial bills and Bank bills. Commercial bills are issued by businesses to claim payment from another business or a bank.
• 😀 Bank bills are issued by banks to demand payment from their agents or affiliates.
• 😀 When classifying promissory notes, it's crucial to consider the 'payer,' as this determines whether the note is commercial or issued by a bank.
• 😀 The payment terms of a promissory note can be immediate (at sight) or delayed, and this impacts how the note is classified and processed.
• 😀 Transferability is another classification criterion, distinguishing between named, bearer, and order bills.
• 😀 Understanding the payment method is vital for identifying the type of promissory note. There are two main payment methods: Collection and Documentary Credit.
• 😀 The form and language of the promissory note (including English terms like 'Bill of Lading' and 'Documentary Credit') are key in determining its validity.
• 😀 A promissory note must have matching figures and words for the payment amount to be valid. If they don’t match, the note becomes void.
• 😀 Some promissory notes may be incomplete or missing details (like the place of issue or payment terms), which renders them invalid.
• 😀 In an exam setting, students must be able to identify key aspects of promissory notes, such as payment terms, transferability, and the person issuing the note, as these are crucial for answering related questions correctly.

Q & A

What are the two types of bills of exchange based on the issuer?

The two types of bills of exchange based on the issuer are commercial bills and bank bills. A commercial bill is issued by a business to demand payment from another business or a bank, while a bank bill is issued by a bank to demand payment from its agent bank.

What are the criteria for classifying bills of exchange?

Bills of exchange can be classified based on four criteria: 1) The payment period, 2) The transferability or assignment method, 3) The method of payment (such as documentary collection or letter of credit), and 4) The issuer of the bill (commercial bills vs. bank bills).

What is a key distinction between documentary collection and letter of credit as methods of payment?

A key distinction is that a documentary collection involves a bank acting as an intermediary to collect payment on behalf of the exporter, while a letter of credit involves a bank guaranteeing payment to the exporter once the conditions outlined in the letter are met.

What is the importance of matching the amount in figures and words on a bill of exchange?

The amount in figures and words must match for the bill of exchange to be valid. If they do not match, the bill becomes invalid, which can cause complications in the payment process.

What is the significance of the payment term 'at sight' in a bill of exchange?

'At sight' means the payment is due immediately upon presentation of the bill of exchange. This term indicates that the recipient must make payment as soon as they receive the bill.

What is the role of the endorser in a bill of exchange?

The endorser is the person who transfers ownership of the bill of exchange to another party. The endorser must be the payee, and the transfer involves signing the back of the bill to endorse it.

Why is the location of issuance important in a bill of exchange?

The location where the bill is issued must be clearly stated on the document. If the location is missing, the bill may be considered invalid, as it lacks important information regarding its origin.

What happens if a bill of exchange does not include the place of issuance?

If the bill of exchange does not include the place of issuance, it will be deemed invalid. This is a critical error that can lead to the document being unenforceable.

How can one identify whether a bill of exchange is a commercial or bank bill?

A commercial bill can be identified by checking the issuer. If the issuer is a business seeking payment from another business or a bank, it is a commercial bill. A bank bill, on the other hand, will have a bank as the issuer, demanding payment from its agent bank.

What should you do if you encounter a bill of exchange with missing or incorrect information during an exam?

If you encounter a bill of exchange with missing or incorrect information, such as an absent location of issuance or mismatched amounts, you should identify and correct the errors as part of your evaluation. The bill may be deemed invalid if these critical details are not addressed.