Chase First to Use the Internet to Speed Payment Under Letters of Credit
Chase introduce TradeDocSM to the Asia-Pacific region. Electronic trade documents replace paper ones, and exporters can outsource the preparation of these documents to Chase, via a secure Internet connection. It can dramatically reduce the time and associated risks involved in document preparation, according to John Zutter, managing director and head of Global Trade Sales for Chase. Depending on the market, an exporter can save up to 10 days on document preparation and delivery, resulting in quicker payments and earlier funds accessibility. TradeDoc enables exporters and other parties involved in the preparation of trade documents to communicate with Chase using EDI through the Internet or through third party networks. Chase then creates electronic documents and uses them to accelerate the negotiation process. This is a significant innovation in trade document outsourcing and negotiation because it facilitates communication among all parties to the transaction over an open communication system so that parties don’t have to limit themselves to a proprietary electronic banking system.