'font-style:italic;' class='uawbyline'>by Wade Henderson
The letter of credit as a form of credit documentation requires the interaction of different characters in order to be created. Let us now understand who these characters are and what they do.
The first one is the originator, which is the person or entity requesting the opening of credit to the bank and who agrees to make the payments. Often the people originating a Letter of Credit are importers of goods.
There is also an Issuing Bank, which is the financial institution chosen by the importer and it is the entity that will extend a line of credit to the importer and perform the payment if the conditions of the letters of credit are met. The issuing bank is usually in the importer’s country.
