Jargon File

  

· Precedent File · Related Links · Comics · Jargon File · Document Maker · About William H. Widen · About Site ·

Letter of credit

  1. An instrument pursuant to which the issuer of the letter of credit undertakes to pay a sum of money to the beneficiary of the letter upon presentation of the letter to its offices. Sometimes payment of the letter is conditioned upon the presentation of additional documents together with the letter.