At Sight

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📖 Detailed Explanation

At Sight is a common payment term in international trade, typically used in documentary credit or collection transactions. It means the payer (importer or issuing bank) must pay immediately upon presentation of the draft or documents, without waiting for a future date. Usage scenarios include sight letter of credit (L/C at sight) and documents against payment at sight (D/P at sight). Note: Payment at sight requires documents to strictly comply with the letter of credit terms, otherwise payment may be refused; in collection, the payer must pay immediately upon sight to obtain the documents. Difference from other terms: At sight (sight) is opposite to usance (e.g., 30 days, 60 days), which allows the payer to defer payment; at sight is also different from 'payment against documents', which emphasizes document presentation rather than draft presentation. Foreign trade practitioners need to clarify the specific meaning of at sight to avoid capital turnover problems caused by misunderstanding.

📝 Examples

1. This letter of credit is a sight L/C, with payment terms of at sight. Please ensure the documents are correct before submitting them to the bank. (Note: Under a sight L/C, the bank pays immediately upon seeing the draft or documents.) 2. The collection method is documents against payment at sight. The importer must pay immediately upon sight to obtain the shipping documents. (Note: Under D/P at sight, the bank releases documents only after the importer pays at sight.)

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