How documentary collection works

• Seller and buyer conclude an agreement which provides terms of payment besides other relevant condition for collection.
• Seller sends goods to buyer and submits documents to his bank for collection.
• Bank of seller sends documents to bank of buyer.
• Bank of buyer after payment of documents by buyer or after accepting by buyer to make payment on future determined date hands over documents to buyer.
• Bank of buyer transfers funds to bank of seller.
• Bank of seller transfer funds to seller.