October 2018

Trade Finance and Services

This publication is a part of:

Collection: Comptroller’s Handbook

Series: Safety and Soundness

Category: Asset Quality

Overview

This booklet provides an overview of international trade finance and services activities. These activities include letters of credit, guarantees, acceptances, open account financing, other specialized trade financing, financial supply chain solutions, prepayment, advising, trade collections, bank-to-bank reimbursement services, insourcing/outsourcing trade processing, and hedging services. The booklet discusses risks associated with trade finance and services, risk management practices, and regulatory requirements.

Applicability

This booklet applies to the OCC's supervision of national banks and federal savings associations. References to national banks in this booklet also generally apply to federal branches and agencies of foreign banking organizations. Refer to 12 USC 3102(b) and the "Federal Branches and Agencies Supervision" booklet of the Comptroller's Handbook for more information.