Consequences of Non-Payment in Case of D/A Bill
There are greater risks associated in case of D/A Bill, compared to D/P Bill. In case of D/A Bill, importer makes payment only on the due date. From the date of delivery of goods till date of payment, exporter has to bear credit risk as importer has, already, taken delivery of goods. If the importer fails to make the payment, exporter has no alternative but to file only a civil suit that is beset with costs and realization difficulty.
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