User:Billsic45

A commercial bill discount 手形割引 is definitely an act by which the legal holder of a commercial bill (including banker\\\'s acceptance draft and commercial acceptance draft) transfers it to BOCOM to acquire cash before its maturity date.

Maturity term and interest rate

(1) The discount period covers the period from the day of discount towards the bill maturity date (postponed accordingly when the maturity date falls on a public holiday, however the interest it\\\'s still accrued throughout the period of postponement).

(2) The discount interest rate is subject to the relevant interest rate announced through the People’s Bank of China.

Application conditions

(1) Fulfill BOCOM’s simple requirements for capital loan.

(2) Bona-fide and lawful commodity transactions between applicant and bill-issuer or its predecessor;

(3) Discounted fund can be used as the company’s normal working capital.

Application procedures

1. Provides related documents necessary for the application of capital loan requested by BOCOM.

2. Provides product sale contract between discount applicant and predecessor, with the value- added tax invoices;

3. Completes a duplicate Application for Acceptance Bill Discount with imprints of company chop and the legal person’s personal chop;

4. Completes a Discount Voucher in quintuplicate copies, with imprints of company chop and bank chops on the first copy;

5. Submits commercial bill just before its maturity (commercial acceptance draft should be the second copy and bank acceptance draft must be the second and third copies), with completion of transfer endorsement;

6. Upon review and approval from the discount application, BOCOM will sign contractual documents including discount contract, guarantee contract or mortgage (pledge) contract using the applicant for discount.