clean collection

Popular Terms
Documentary collection whereby only the financial document (draft or bill of exchange) is sent through the banks without a bill of lading and/or other shipping documents (which are sent separately by the consignor to the consignee). Used usually in open account arrangements, clean collection allows a consignee to take delivery of the shipment without paying and without making a firm commitment to pay on a fixed date. Also called clean credit.

Email Print Embed