ABSTRACT
This chapter explains the trader a simple yet effective guide for use with a wide range of products, should a trader progress to such a position in a trade. A bank must not get involved in the contract for the sale or purchase of goods. If a new trader were to find a viable deal, attachment with a good buyer/seller like the primary intermediary agent (PIA) would enable that person to learn how to use contracts over time. A non-cumulative revolving credit retains the value of the credit on a continuing basis. Trade associations have their own model contracts, thus those who, for instance, sell sugar might use the Refined Sugar Association (RSA) of London model contract and the terms and conditions therein. The value of the documentary letter of credit (DLC) remains at 30 dollars in advance at all times: when one shipment is delivered 10 dollars is paid from the top of the stack.
