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e-Credit Line

What's e-Credit Line
Why e-Credit Line

As China’s international trading business continues to mature, the ability to buy on credit (i.e. making open account transactions) has become an increasing need for overseas buyers to make purchases from suppliers in China. To serve this need, Alibaba.com (through its affiliate, OneTouch) has jointly launched its e-Credit Line with two government agencies – Bank of China and SINOSURE. With the capital support of Bank of China and the strong capability in claim settlement of SINOSURE, OneTouch is able to provide you with the extended payment terms for products sourced to make your purchase from suppliers in China simple, flexible and convenient.

e-Credit Line is an Open Account (OA) transaction supported by export credit insurance. It is a transaction where the goods are shipped and delivered before the payment is due, which is typically within 60, 90 or 120 days after the issue of the credit line. This option benefits buyers in terms of increased cash flow and reduced costs. For suppliers, e-Credit Line is the way to substantially mitigate the risk of non-payment associated with open account transactions through the use of export credit insurance. With 80% of the payment being guaranteed, suppliers have secure access to financing for production and for credit, while they are awaiting payment.