Discounting of bills means purchase of bills-of-exchange or promissory notes prior to the maturity date thereof. Tatra banka buys bills-of-exchange issued by the supplier in its own order and accepted by the customer, or promissory notes issued by the customer, and it assesses the risk of the debtor from the note.
The individual bills/notes are due and payable within minimum 30 days and maximum 180 days of the date of issue.

Upon reviewing the request, Tatra banka assesses the risk (analysing the bill/note entities), proposes the structure of the transaction, prepares contracts to be signed by the authorised representatives of the client and the bank.

Benefits for the client:

• the discounting of the bill enables the creditor to improve the liquidity, as well as the competitive position in the market of buyers, by providing a longer maturity period,
• it provides to the debtor the option of later payment.

Specific features of the discounting of bills:

• minimum value of the bill approximately 10 000 EUR and maturity of 30 days
• financing of 100 % value of the bill
• realisation with the right of recourse, in exceptional cases without the right of recourse
• LIBOR or BRIBOR base
• with aval, without aval

Target group: direct manufacturers, processors, vendors (Tatra banka buys only commercial bills/notes, i.e. the bills/notes must cover supply of goods or services)