The announcement by a specialist bank that serves the US' burgeoning Asian community that it will add secure letter of credit (L/C) application software to its suite of web based trade finance products suggests that secure online trading services are now spreading outside the domain of the world's major banks.

Nara Bank, which is headquartered in Los Angeles and has 18 US branches and offices, announced on 5 March that its secure online L/C application software programme would provide clients with convenient and secure access to account information and enable registered customers to submit L/C requests, check order status and view historical transactions online.

Benefits

Once an L/C request is submitted online, an application number is assigned. Customers can then track the status of their transaction online through this number. When the L/C transaction is processed, a confirmation email is automatically sent and the final transaction can be viewed, printed and stored. Customers can save templates of previous application formats for repeated use.

Nara claims the usual benefits of online L/C applications including quick submission and approval processes, statements at a glance, and storage of images and documents.

What is more interesting is that bank believes it is the first of its kind to go down the online L/C application route.

March launch

"We are pleased to be first among our peer banks to develop an L/C software application program which will provide quick, accurate and convenient transactions for our trade customers," said Nara Bank's President & Chief Executive Officer, Benjamin Hong.

Nasdaq listed Nara Bank, which was established in 1989 to serve the needs of US-Korean business, will introduce the L/C application software programme later this month.

This article represents the views of the author and not necessarily those of the ICC or any of the other partners in DC-PRO.