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Documents against Payment (D/P)

A sight draft is a type of financial instrument in which the buyer or importer is required to make a cash payment before the documents that transfer ownership of goods are released. This payment is often made immediately upon receipt of the goods, providing assurance to the seller of the buyer's ability to make timely payment. This type of transaction helps to mitigate risk for both parties involved, ensuring that the buyer receives the goods and the seller receives payment.
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A comprehensive resource containing definitions and explanations of terms, concepts, and jargon used
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