Credit Line

Credit line refers to a flexible, convenient and recyclable product provided by Bank of China to the customers. Bank of China may quickly extend the short-term credit to customers regardless of its accumulated amount and frequency, as long as the balance of credit extension is not over the standard of corresponding service.

With flexible arrangement, total credit line can be further divided into limits for different products such as loan, L/C, export bill purchase, letter of guarantee, bank acceptance draft, acceptance draft discounting and so on. Credit line is applicable in all credit extension services with a term within one year (inclusive), which can be extended to over one year for letter of guarantee of tender, performance, advance payment, customs and marine under the item of letter of guarantee.

1. Provide convenience to enterprises' short-term financial arrangement. Since credit line can be recycled, financial plan of enterprises may become more definite and systematic. Enterprises needn't arrange funds for current operations under the credit line.
2. Meet the enterprises’ demand for general financing. Credit line includes varieties of limits for different products such as loan, L/C, letter of guarantee and other credit extension services, which covers key financing demands of customers. With approval of Bank of China, such limit can complement and overlap each other, increasing its utilization.
3. Simplify approval formalities of credit extension of enterprises. After acquiring credit line, the customers are entitled to decide how to use it and when to use it at their own discretion and do not apply the credit extension bank for approval item by item according to the provisions of the contract. Thus customers shall not go through the procedures of single credit extension approval, such as business information survey, guarantee conform and other formalities as required.

Interest rates of credit line are different in accordance with different products.

Charges for intermediary service to customers.

Customers with independent legal person who are credit extension targets of Bank of China can apply for appropriate credit line according to relevant regulations.

1. Business license of enterprises;
2. Financial statements of enterprises and other material required by Bank of China.

1. Initial stage
   Sales account manager of the corporate business department allows credit line application by customers and conduct business information survey. At the stage, the corporate business department will go through the following procedures:
   　 (1) Qualification examination for customers according to their rating and admission criteria of our bank
   　 (2) Collection of essential materials and information of customers, including request for credit line approval, valid business license and audited financial statements of the latest three years;
   　 (3) Collection of guarantor's business license and financial statements in last three years, the list of the mortgage (pledge) and its valuation documents, title certificate, the reviewing report on mortgage (pledge) by the approval authority
   　 (4) Draft of credit line agreement
   　 (5) Compilation of credit line approval report
2. Implementation stage
   The credit line comes to implementation stage after credit line approval report has been approved by risk management department or gone through relevant procedures.