What is a usance letter of credit?

Answer by  SashaDarkCloud (5764)

A letter of credit that tells you the amount you have to pay at x amount of time so that it gives you time to give the money to issuer.

Answer by  raemwing (40)

This is another term for agreeing to a deferred payment credit account. A document states the applicant (or another bank) agrees to pay off the loan by a specified date. There are two types; confirmed and stand-by. The confirmed has irrevocable confirmation that the lender or another bank will fulfill the obligation. The stand-by is guaranteed to be paid.