Pricing and discounting of bill of exchange financing

• The Finnvera Group orders the necessary credit reports and invoices those from the exporter while determining whether it will grant the financing.
• The exporter applies for bill of exchange financing on behalf of the buyer and at the same time provides information on the export transaction. If the financing is approved, the exporter will be charged a processing fee of EUR 500–850. The amount depends on the size of the financing.

• The financing is subject to a fixed interest rate, which is determined on the basis of e.g. the buyer’s risk category and funding and management costs. The estimated financing costs can be included in the amounts of the bills of exchange.
• Law firm fees and any other costs arising from the financing.

• The advance payment must be paid to the exporter by the date of the delivery and discounting of the bills of exchange at the latest.
• The amount of the bills minus the discounting fees will be paid to the exporter once the financing agreement has been signed and the bills have been discounted. For additional information, see the section When can bills of exchange be discounted and what documents are required?

The Finnvera Group can discount the bills of exchange once the financing agreement between the exporter and Finnvera has been signed. The financing agreement can be signed after the exporter has delivered the following documents:

1. Bills of exchange transferred to Finnish Export Credit (a subsidiary of Finnvera)

2. A copy of the delivery contract and the exporter’s confirmation that the delivery contract has entered into force;

3. The exporter’s confirmation that the buyer has paid the advance payment specified in the delivery contract, the amount of which is at least 15% of the transaction price;

4. A copy of the invoice sent by the exporter in connection with the bills of exchange;

5. A copy of the transport document;

6. The exporter’s confirmation that the export products have been delivered to the buyer in accordance with the delivery contract;

7. A legal opinion issued by a law firm operating in the buyer’s country on the validity of the bills of exchange;

8. Transfer notice signed and accepted by the buyer;

9. A clarification that the buyer’s signatures on the bills of exchange are original and that the signatories are permitted to represent the buyer in a binding capacity.

Finnvera will review the necessary documents together with the exporter at an early phase of the process.