LINE OF CREDIT (LOC)
LINE OF CREDIT (LOC)
Credit Limit: A set amount of money that you can borrow up to but not exceed. You can withdraw funds as needed up to this limit
Revolving Credit: As you repay the borrowed amount, the credit becomes available again, similar to how a credit card works. For example, if you have a $10,000 credit line and use $2,000, you can still access $8,000. After repaying the $2,000, the full $10,000 becomes available again.
Interest: You only pay interest on the amount you borrow, not on the full credit limit. Interest rates are usually variable and can fluctuate over time.
Flexible Repayment: You can often repay in smaller amounts over time (subject to minimum payment requirements), but some LOCs may have specific repayment terms.
Secured vs. Unsecured:
o Secured LOC: Backed by collateral such as property, savings, or investments. This can lower the interest rate.
o Unsecured LOC: Not backed by collateral, which usually means higher interest rates due to the increased risk to the lender.
A non-recourse loan is a type of loan where the lender's recovery options are limited to the collateral securing the loan. If the borrower defaults, the lender can seize the collateral but cannot pursue the borrower for any additional compensation, even if the collateral's value is insufficient to cover the full loan amount. This means the lender has no "recourse" beyond the collateral.
Key points about non-recourse loans:
Collateral-based: The loan is secured by specific assets, such as real estate, equipment, or a Secured Line of Credit
No personal liability: The borrower’s personal assets are not at risk; only the pledged collateral is, such as the client Real Estate, Equipment, Business or a Secured line of Credit. This depends on the Request from the Lender or Investor.
Common in real estate: These loans are often used in commercial real estate transactions, where the property itself is the collateral, However, in recent years, its been applied to various areas of Business.
A line of credit account can play a critical role in determining the feasibility and terms of a non-recourse funding or loan. Non-recourse loans, which are secured solely by collateral (typically an asset or investment), limit the lender's recourse to the pledged asset in case of default. Here's how a line of credit account may impact this arrangement:
Strengthens Financial Standing
Having an established line of credit demonstrates your financial stability and creditworthiness. While the loan itself is non-recourse, lenders may view your ability to manage a line of credit positively, potentially making them more confident in your risk profile.
Liquidity Enhancement:
A line of credit provides access to immediate liquidity, which can complement the non-recourse funding process. This is particularly useful in scenarios where additional funds are required to manage cash flow or maintain the collateral asset.
Collateral Requirements:
In some cases, an active line of credit tied to assets may serve as an indirect indicator of asset value. However, the assets used for the line of credit cannot typically double as collateral for a non-recourse loan unless explicitly structured
Risk Mitigation for Borrowers:
While a line of credit isn’t directly linked to non-recourse loans, it can act as a financial buffer, reducing the likelihood of default and safeguarding the collateral.
1/ Bank SWIFT
Important
Our contracts also include the monetizer returning the Leased Bank Guarantee (BG) to the Issuing bank 15 days prior to the Bank Guarantees (BG) expiration. This is a critical requirement of most Leased Bank Guarantee Issuers
Bank Guarantee Monetization LTV: Leased Bank Guarantee.
$10 to $50M Bank Guarantees - 15% to 25% Non-Recourse.
50M+ Bank Guarantees - 25% to 55% Non-Recourse.
LTV is dependent on the Issuing bank Rating and is likely to grow.
Estimated Completion Time:
· 7 to 14 Days after all documents are signed and verified or 3 to 4 Days After Instrument Delivery on SWIFT.
We do not offer Euroclear Monetization.
Monetization Requirements
· A Line of credit Account Opening.
Client Checking or Current Account Opening
⦁ Always 100% Protected with our Fee Protection Agreement
⦁ Commission is free, clean and clear from any tax.
⦁ Commission is paid directly to Brokers Account, No Third Party pay Master.
⦁ We offer only 1 Master Broker License Per Country and 3 Sub Brokers Per Country
Ice Invest Capital Trading, in collaboration with major banks across Europe, America, Asia, Africa, and the Middle East, offers an unparalleled opportunity for clients to open a secure Line of Credit Account (LOCA). Whether you are an entrepreneur, corporation, or investor, we tailor our services to meet your capital and funding needs, ensuring access to liquidity in a seamless, secure, and efficient manner.
Ice Invest Capital Trading works directly with leading financial institutions to assist clients in opening a LOCA designed to align with their financial goals. We guide you through the process, ensuring compliance with bank requirements while structuring the account to meet your unique funding needs.
Customized Solutions:
Based on your capital or funding goals, we connect you with the right banking partner to establish your LOCA efficiently
End-to-End Support:
From documentation to account setup, our team of experts is with you every step of the way.
Global Reach:
Our partnerships span across continents, ensuring that you gain access to secure and reputable financial institutions.
LOCA Opening Costs Based on Opening Balances
LOCA- $350,000
LOCA - $400,000
LOCA - $450,000
LOCA - $650,000
LOCA - $800,000
LOCA - $1,800,000
LOCA - $2,500,000
LOCA - $3,000,000
LOCA - $4,700,000
LOCA - $5,000,000
These values represent competitive pricing for accessing substantial credit lines, ensuring that you receive the liquidity you need to achieve your financial objectives
Why Choose Ice Capital Trading?
Ice Capital Trading is among the only few capital trading company offering such robust access to secure Line of Credit Accounts. Here’s why:
Exclusive Partnerships: Our relationships with top-tier banks worldwide give you unique access to exclusive opportunities not available elsewhere.
Unmatched Expertise: Our team has decades of experience in capital trading, wealth management, and structured financing.
Tailored Services: We focus on creating solutions that empower our clients and provide unmatched flexibility in structuring LOCAs.
