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Banking > Lendings > Domestic Lendings > Types of Facilities


Types of facilities

The inventories have always been financed through Cash Credit or overdrafts whereas the receivables have been financed through Bills. Both these basic facilities have given rise to a number of derivatives over a period of time but the basic nature has remained the same. Export Packing Credit (EPC), Pre shipment credit in Foreign Currency (PCFC), Commercial Paper (CP) are the examples of the former while the latter has evolved in Post Shipment Credit in Foreign Currency (PSCFC), Foreign Bill Discounting (FBD) etc.

 


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