Spot Goods Financing Product

Product Overview

It refers to a financing manner that the applicant mortgages/ pledges the spot goods to CGB, and CGB takes charge of the spot goods

Product Features

1.      It is applicable to manufacturing or commercial enterprises that have large inventory volume and employ more working capital. It helps enterprises efficiently use the inventory assets and get the working capital;

2.      It introduces the third-party storage companies for supervision and professional management;

3.      The business models include chattel pledge and mortgage, and floating mortgage, and the operation modes comprises static operation and dynamic operation;

4.      The acceptable commodities include the automobile, home appliances, timber, non-ferrous metal and chemical products, etc.

Business Process

1.      The applicant comes up with application to CGB for financing, and provides the relevant materials;

2.      After CGB approves the application, the applicant will sign the contracts such as the Loan Contract, the Chattel Pledge/Mortgage Contract, and the Chattel Supervising Contract, etc.;

3.      Applicant provides the commodity and goes through the pledge/mortgage formalities; the third-party supervising company supervises, and CGB releases the financing loan;

4.      After the customer pays additional margin or repays the loan, the customer applies to CGB to take delivery of goods;

5.      The bank will notify the storage company to release the collateral after verification and approval, and the applicant takes delivery of the goods based on the Release Notice;

6.      After the credit exposure is due and settled, the business comes to an end normally.

Our Commitments

1.      We offer convenient and swift approval procedures;

2.      Generally, you can get financing limit equal to 70% of the collateral value, and can recycle the use of the limit flexibly for up to one year;

3.      The collateral can be replaced to meet the enterprise’s operation and turnover needs;

4.      When you need the goods, you can supplement the exposure and take delivery of the collateral at any time.

Kind Reminders

1.      Please ensure clear ownership of the collateral, and that the collateral is free of repeated pledge;

2.      The value of the collateral is fixed by reference to the VTA invoice and the market price of the recent similar products, and the loan limit is determined in combination of the collateral value.