non-callable letters of credit

Lady Tiger

New Member
U.S.A. English
I would greatly appreciate your help with the following phrase;

"The Instruments shall be exclusive of "non-callable letters of credit;"

I was asked to do this translation right now!!!! A really good friend asked me to do this, so I couldn't turn him down. But I am pulling out my hair! Is is normal to take 2 hours to translate one type written page????????
 
  • babep

    Senior Member
    Catalan/Castillian/English (Mallorca, Spain/ex-10 years USA)
    Well, yes, it is normal.
    Do you have even the faintest idea of what a "non-callable letter of credit" is? Any explanation (from your friend) would go a long way...:)
     

    xOoeL

    Senior Member
    Español - España
    "non-callable" significa que no te pueden pedir que lo pagues antes de la fecha límite para pagarlo
    "letter of credit" es carta de crédito. Una carta del banco que garantiza que el cliente pagará a tiempo al vendedor.

    ¿Cómo componer eso en una frase en español? Ni idea.
     

    Lady Tiger

    New Member
    U.S.A. English
    Un millón de gracias a todos que respondieron. No sé como pudiera haber hecho esta traducción sin Uds. Lo bueno es que descubrí este sitio por primera vez al empezar esta traducción. ¡Uds. son unos ANGELES que me han rescatado de un lío!
    Lady Tiger
     

    Joe Esquire

    Senior Member
    Spanish Spain- English US
    A note of clarity may be useful:

    A debt security is “callable” when it may redeemed (pre-paid) earlier than date of maturity by the issuer, as the above translations so indicate.

    However, a Letter of Credit, is not a debt security, but a Bank guarantee, payable upon satisfaction of conditions established on its face for payment, (such as a Notice of Default).
    The term used in the original post is a misnomer: LOCs do not have ”callable” or “non-callable” features. (See Article 5 of the Uniform Commercial Code, for reference). An LOC is generally irrevocable, and is redeemable (payable) at such time as its terms provide, generally during a 1 year period from issuance.

    The misleading usage arises in project financing, when an LOC is used as a credit enhancement feature to senior debt having other collateral. The LOC may provide some guarantees to shortages in cash flow, for example, but it is not the primary source of collateral. The purpose is to upgrade the credit rating and secure better pricing on the senior debt.

    Therefore, is not likely that the LOC will be redeemed, and if it is, it would be only in limited circumstances and amounts.

    Regards,

    je
     
    Last edited:
    Top