Canada - Methods of PaymentCanada - Methods of Payment
Methods of payment in Canada are like those in the United States domestic market. Depending on the magnitude of the contract, U.S. manufacturers exporting to Canada generally ship on open account, and do not require letters of credit. Typical terms are 30 to 90 days with a discount of 1 to 2 percent of the invoice for early payment, usually if paid within 10 days. U.S. firms exporting to retailers (mainly to department stores) tend to offer a higher discount for settlement within 10 days. Normal precautions in dealing with a first-time customer should be exercised, and safeguards instituted wherever possible -- at least until a good relationship has been established with the customer.
The U.S. Commercial Service in Canada offers the International Company Profile (ICP) as a tool to evaluate the creditworthiness of potential customers or partners. For information on the ICP, please contact Senior Commercial Specialist Lucy Cicero Latka at lucy.latka@trade.gov. U.S. firms may wish to consider using the U.S. Export-Import Bank’s export credit insurance program. The Export-Import Bank of the United States (Ex-Im Bank) is the official export credit agency of the United States, and its mission is to assist in financing the export of U.S. goods and services to international markets. For further information please see: www.exim.gov.
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.
The U.S. Commercial Service in Canada offers the International Company Profile (ICP) as a tool to evaluate the creditworthiness of potential customers or partners. For information on the ICP, please contact Senior Commercial Specialist Lucy Cicero Latka at lucy.latka@trade.gov. U.S. firms may wish to consider using the U.S. Export-Import Bank’s export credit insurance program. The Export-Import Bank of the United States (Ex-Im Bank) is the official export credit agency of the United States, and its mission is to assist in financing the export of U.S. goods and services to international markets. For further information please see: www.exim.gov.
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.