Letter of Credit Price Calculator
Letter-of-Credit Cost Simulator
The calculator below uses Bloomberg© Inter-Bank LC Mid-Spreads Q2-2025
as its base grid. Issuance fees remunerate the issuing bank for credit, compliance and capital allocation; confirmation fees compensate a confirming bank for accepting payment default risk on the issuer. The model applies the formula:
Total Cost = [ (Issue Bps + Confirm Bps) / 10 000 ] × Face Amount × (Tenor ÷ 12 )
where Issue Bps
and Confirm Bps
are adjusted for bank rating and collateral coverage. Enter your parameters for an indicative cost; then request a definitive quote and we will syndicate the enquiry across our investment-grade panel.
Deal Inputs
Ready for bank-verified pricing? Submit your draft LC wording and beneficiary details and we will release firm terms—usually within three business days.
Request Definitive QuoteThe figures above are illustrative. Final pricing depends on full credit appraisal, Know-Your-Customer checks, sanctions screening, country risk and collateral validation. Financely Group and its affiliates make no representation or warranty, express or implied, regarding the completeness or accuracy of this estimate. No contractual obligations arise until formal facility documentation is executed by all relevant parties.
Get Started With Us
Submit Your Deal & Receive a Proposal Within 1-3 Working Days
Submit your deal using our secure intake form, and receive a quote within 1-3 business days. Existing clients can connect with their relationship manager through our secure web portal.
All submissions are
promptly reviewed, and all communications are conducted through the intake form or the client portal for a seamless and secure process.
Thank you for considering working with us. A nominal fee of US$500 is required upon completion of each form. This fee covers the time and effort we invest in reviewing your submission and crafting a thorough proposal. We receive numerous inquiries and prioritize those that carry this fee, ensuring serious applicants receive prompt attention.
Trade Finance
Tap into solutions like letters of credit, bank guarantees, and payment facilitation. We address the challenge of global transaction risk through structured strategies that foster cross-border growth. Complete the form to unlock streamlined funding aligned with your commercial objectives.
Submit a RequestProject Finance
Access non-recourse funding for infrastructure, renewable energy, or other capital-intensive ventures. We mitigate capital constraints by isolating project assets and focusing on risk management. Provide your details to receive a structure that drives growth and maximizes returns.
Submit a RequestAcquisitions
Secure financing for business or real estate acquisitions. We ease transaction hurdles by reviewing cash flow, synergy opportunities, and exit plans. Complete the form for a customized proposal that supports your strategic investment objectives.
Submit a RequestFor Banks
Financely assists banks facing Basel III pressures by distributing trade finance deals and providing collateral for letters of credit. We reduce capital burdens while preserving client relationships and fostering service expansion. Submit your request to optimize your trade finance offerings.
Submit a RequestOnce we receive your submission, our team will review your information to determine feasibility. If eligible, you will receive a proposal or term sheet within 1–3 business days. Visit our FAQ and Procedure pages for more information.
Disclaimer: Financely provides financing based on due diligence and feasibility. Approval is not guaranteed, and past performance does not predict future outcomes. All terms are subject to review. Financely primarily assists with structuring and distribution. Qualified parties carry out the project if the client approves the proposal.
