Letter of Credit for Business

 Overview 

In lieu of deposits or to guarantee payments, you may be able to use a letter of credit.

  • Lets you conserve cash ordinarily used for security deposits
  • Facilitates international business transactions
  • Not an actual loan, but a payment guarantee
  • Gives the buyer a stronger negotiating position
  • Commercial letters of credit (primary method of payment) and standby letters of credit available
  • Fee-based pricing
  • No financials required on amounts up to $50,000
Apply in your nearest branch

In order to apply:

  • You must be 18 years or older.
  • You must be a principal owner of the company, with at least 50% ownership.
  • Your business must have been in existence for at least 24 months.
  • You will be required to open a Capital One Small Business DDA if you do not already have one.
  • If you are a new customer, you are required to sign a 4506T form which will allow Capital One access to your Federal Tax information.
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