L23. International Oil Trade Finance, Banking Instruments and Payment Risk + Up to 2 Hours of Live Online Learning

Lecture 23: International Oil Trade Finance, Banking Instruments and Payment Risk

By the end of this lecture, you should be able to:

• Identify and compare the main payment methods used in international oil transactions.
• Explain the roles of Letters of Credit (LC), Bank Guarantees (BG), Standby Letters of Credit (SBLC), Documentary Collections, Escrow Accounts and other payment methods.
• Understand the differences between a bank undertaking, a payment guarantee and an ordinary money transfer.
• Evaluate the banking, credit, operational and legal risks associated with different payment methods.
• Assess appropriate payment structures based on the actual transaction and applicable legal requirements.