Work out post shipment finance cost instantly with clear inputs, formula shown and shareable results.
Post-shipment finance bridges the gap between shipment and payment by the overseas buyer. Interest runs for the usance period of the bill, and the advance is liquidated when the export proceeds arrive.
Post-shipment cost
Advance = bill × advance rate; interest = advance × rate × usance days/365
Figures are estimates based on the inputs given. Bank charges, regulatory minima and market rates change and differ between institutions and jurisdictions. This is not financial advice — confirm with your bank or treasury policy.
Interest continues to accrue, often at a higher overdue rate, and the concessional treatment can be withdrawn.
Yes. If the advance is in local currency and the bill in foreign currency, the realisation carries exchange risk unless hedged.