International Services

If your business entails international trade, People's United has the flexibility and experience to meet your specialized business needs. Regardless of your level of experience with international transactions, our personalized approach can be valuable in improving your operational efficiency in your international business.

People’s United offers the following International Services:

• Commercial Letter of Credit
• Standby/Performance Letter of Credit
• Import/Export Collections
• Overseas Funds Transfer/Foreign Exchange Service
• Export Financing

Commercial Letter of Credit

Issued to cover shipment of goods either internationally or domestically. It is an undertaking made by the bank on behalf of its customer, in which the bank agrees to make payment to the beneficiary (usually the seller or shipper), provided the beneficiary has conformed to the terms and conditions as stated in the letter of credit. It is one of the most common means of payment in international trade.

Standby/Performance Letter of Credit

This type of Letter of Credit is issued to provide assurance that the bank's customer will perform its obligations to the beneficiary of the letter of credit. This type of letter of credit is issued in lieu of cash deposits, or in place of performance or bid bonds in international as well as the domestic market. They have been used to support promissory notes, accounts payable and also installment payments and sales.

Import/ Export Collections

Collections may be clean, without documents, or documentary. It is a process by which the seller forwards the documents to the buyer's bank with instructions to release against payment or acceptance of the draft

Overseas Funds Transfer / Foreign Exchange Service

People's United Bank transfers funds overseas in U.S. Dollars or foreign currencies to foreign banks for credit to individuals or corporations in most parts of the world. People's United Bank also sells foreign currency in the form of a draft that can be mailed overseas as a gift or to pay invoices.

Export Financing

Offered by People's United Bank covers the financing of eligible, non-military U.S. products and services. These are offered through the Export-Import Bank of the US (EX-IM Bank) and include:

• Working Capital Guarantee Program (People's United Bank has delegated authority) - Provides working capital to fund export activities, such as the purchase of inventory, the manufacture of a product and the marketing and sales of the product. Available for transactions in excess of $200,000 for terms up to 12 months.
• Medium Term Guarantee Program - Direct loans to foreign companies guaranteed by EX-IM Bank for the purchase of US products and services. Available for transactions ranging from $200,000 - $10,000,000 for terms up to 7 years.
• Account Receivable Insurance - Political and commercial risk coverage up to 90% of the foreign account receivable. Allows for advances against foreign account receivable on a customer's domestic line of credit.