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SCB can serve as your Recipient Bank when your customer pays under a Bank Payment Obligation (BPO).  A BPO is an irrevocable agreement by your customer's bank (the Obligor Bank) to pay your Recipient Bank (SCB) if the trade data you provide matches the trade data in the BPO.

The BPO trade data are conditions set by your customer for your company to meet. The trade data you provide prove your

performance in meeting those conditions. This data typically includes commercial, transport, insurance or certification information, which your company must present to the Bank for verification.

As such, a BPO is a payment method similar to a Letter of Credit (L/C), because the obligor of the payment is your customer's bank. That bank must pay when your company shows it has complied with all the pre-set conditions. The difference is that the BPO relies on an electronic platform, namely a Transaction Matching Application (TMA), to verify the information automatically. Moreover, a BPO allows the required information to be sent and received electronically. In contrast, an L/C requires bank personnel to transfer and check physical documents manually. 


SCB acts as your Recipient Bank in receiving a BPO or amended BPO (BPO Amendment) from your customer's Obligor Bank. We inform your company upon receipt.

As Seller, your company has the duty to advise SCB whether the details of the BPO are in line with the sale/purchase agreement. If so, then your company officially “accepts,” and so the BPO is considered accepted by both parties. You nominate SCB as the Recipient Bank to receive payment on your company's behalf.

  • SCB informs your company immediately after receiving the BPO
  • Your company will be informed of the BPO, and can revert to the Bank after reviewing it, either online or via any of SCB's International Trade Service Centers located nationwide
  • You can ship goods with confidence because your customer's payment is guaranteed by its Obligor Bank
  • Be certain that the BPO information is correct

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