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Obtaining Proof of Funds for Trade Finance

Proof of Funds for Trade Finance

Proof of Funds (POF) in Trade Finance

Proof of Funds (POF) confirms a buyer's financial capability to complete transactions. It's crucial in trade finance, building trust, reducing transaction risk, and ensuring financial reliability.

Common Types of Proof of Funds

Type Description Issued By Common Usage
RWA Letter "Ready, Willing, and Able" letter confirming buyer’s readiness Bank/Financial Institution Commodity and trade transactions
MT199 Swift message confirming financial capability informally Bank via SWIFT Initial verification stage
MT799 Bank-to-bank secure SWIFT message confirming availability of funds Bank via SWIFT Large international deals
Bank Comfort Letter (BCL) Letter confirming client's financial standing and available resources Commercial bank General trade finance
Blocked Funds Funds held in an account restricted to a specific transaction Bank/escrow agent High-security transactions

Step-by-Step Process for Obtaining POF

  1. Check Bank Balance: Ensure adequate funds in the relevant currency.
  2. Gather Documentation: Obtain recent bank statements or asset documentation (within 30 days).
  3. Request a Bank Letter: Official bank confirmation on letterhead.
  4. Verify Validity: Confirm the letter is dated within 30 days.
  5. Submit Documents: Provide POF to relevant parties promptly.

Benefits of Proof of Funds

  • Trust: Enhances buyer credibility.
  • Security: Reduces risk of transaction failure.
  • Opportunities: Unlocks investment potential and broader business relationships.

Potential Risks & Challenges

  • Fraud Risk: Ensure authenticity of provided documents.
  • High Fees: Some POF documents can incur significant bank charges.
  • Loan Conditions: Potential collateral or strict lending conditions.

Frequently Asked Questions

What is a Proof of Funds letter?
A bank-issued document verifying the availability of funds for a transaction.

Can a bank statement alone serve as Proof of Funds?
Sometimes, but official bank letters or SWIFT messages (MT799) are preferred for large transactions.

Are Proof of Funds letters free?
Typically, banks charge fees. However, competitive pricing is available through some service providers.

Get Started With Us

Submit Your Deal & Receive a Proposal Within 1-3 Working Days

Submit your deal using our secure intake form, and receive a quote within 1-3 business days. Existing clients can connect with their relationship manager through our secure web portal.


All submissions are promptly reviewed, and all communications are conducted through the intake form or the client portal for a seamless and secure process.

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Thank you for considering working with us. A nominal fee of US$500 is required upon completion of each form. This fee covers the time and effort we invest in reviewing your submission and crafting a thorough proposal. We receive numerous inquiries and prioritize those that carry this fee, ensuring serious applicants receive prompt attention.

Trade Finance

Tap into solutions like letters of credit, bank guarantees, and payment facilitation. We address the challenge of global transaction risk through structured strategies that foster cross-border growth. Complete the form to unlock streamlined funding aligned with your commercial objectives.

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Access non-recourse funding for infrastructure, renewable energy, or other capital-intensive ventures. We mitigate capital constraints by isolating project assets and focusing on risk management. Provide your details to receive a structure that drives growth and maximizes returns.

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Secure financing for business or real estate acquisitions. We ease transaction hurdles by reviewing cash flow, synergy opportunities, and exit plans. Complete the form for a customized proposal that supports your strategic investment objectives.

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For Banks

Financely assists banks facing Basel III pressures by distributing trade finance deals and providing collateral for letters of credit. We reduce capital burdens while preserving client relationships and fostering service expansion. Submit your request to optimize your trade finance offerings.

Submit a Request

Once we receive your submission, our team will review your information to determine feasibility. If eligible, you will receive a proposal or term sheet within 1–3 business days. Visit our FAQ and Procedure pages for more information.

Disclaimer: Financely provides financing based on due diligence and feasibility. Approval is not guaranteed, and past performance does not predict future outcomes. All terms are subject to review. Financely primarily assists with structuring and distribution. Qualified parties carry out the project if the client approves the proposal.

Still Have Questions? Schedule a Consultation

If you still have questions after visiting our FAQ and Procedure pages, we invite you to book a paid consultation for personalized guidance. A $250 USD fee applies per session.

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