Credit Granted

A letter granting credit should be affirmative, encouraging the customer to make purchases. The letter should be detailed, clearly stating the credit limit and the billing procedures. If the credit request accompanies an order, make note of its shipment.

1). Dear Ms.:

We are pleased to inform you that your financial statement fully meets our standards of acceptability for a $10,000 line of credit, as you requested. The Luminous Lite stocked display case that you ordered pending the granting of credit has been shipped to you today by Leone Trucking. Your account has been billed for product cost and shipping charges of $2,726.32. An invoice is enclosed.

Gothic Glass now counts Valley Craft Stores among its valued customers. This means that you need only pay 50 percent of your bill upon receipt of your merchandise, with the balance payable at our regular terms of 1.5 percent 10 days, net 45. A smooth relationship over the next twenty-four months will double your credit line at that time, should you so desire. Regular customer status also guarantees that you will receive advance word of all sales and specials.

Thank you for your confidence in Gothic Glass. We pride ourselves on our quality products. Please feel free to call if you have any questions.

Assignments

1. Memorize the following phrases:

display case	засклений стенд
your account has been billed	вам було виписано рахунок
balance payable	дебетове сальдо
shipping charges	витрати на відправлення вантажу
advance word of sales	повідомлення про майбутні продажі
billing	виписування рахунку

II. Suggest the Ukrainian equivalents of the phrases below:

we are pleased to inform you; financial statement; to meet standards; acceptibility; line of credit; pending; granting of credit; to ship; shipment; valued customers; upon receipt of your merchandise; at regular terms; regular customer status; credit limit; we pride ourselves on our quality products.

III. Study the use of italicized words in different phrases, suggest their Ukrainian equivalents:

~ charge ~

delivery ~ ; demurrage ~ ; transhipment ~ ; transportation ~ ; unloading ~ ; warehouse ~ ; ~s for overtime work; ~ for credit;

IV. Write a letter denying a request for credit of your own according to the plan:

1. Express pleasure at applicant's financial status.

2. State line of credit granted.

3. Note shipment of purchased goods (optional).

4. Detail the credit arrangement.

5. Comment on benefits and limitations.

6. Express optimism over ongoing relationship.

7. Invite more business.

2). Dear Mr

With reference to our meeting on 23 September, I am pleased to tell you that the credit for £18,000 which you requested has been approved.

We discussed an overdraft, but agreed it would be better if the credit were given in the form of a loan at the current rate of interest, calculated on half-yearly balances.

The loan must be repaid by 30 June 20… and we will hold the £8,000 ordinary shares and £3,000 local government bonds you pledged as security. We agreed that the other £7,000 would be guaranteed by Mr Y. Morgan, your business associate. I would appreciate it if you could ask him to sign the enclosed guarantor’s form, and if you could sign the attached agreement.

The money will be credited to your current account and will be available from 30 September subject to your returning both forms by that time.

I wish you success with the expansion of your business and look forward to hearing from you.