Discusses the most common methods of payment, such as open account, letter of credit, cash in advance, documentary collections, factoring, etc. Includes credit-rating and collection agencies in this country. Includes primary credit or charge cards used in this country.
Last Published: 6/21/2019

In general, foreign products are imported to Spain by an irrevocable letter of credit, but other forms of payment can be negotiated when a relationship has already been established between exporter and importer/distributor. 

  • Payments are usually based on 30-, 60- or 90-day terms. 
  • Large corporations (including large retailers) often impose longer payment terms of up to six months.
  • The government defers many payments - depending on the department, payments may be deferred up to one year.
In Spain, the most common methods of payment for international trade are: 
  • Check (cheque): Bank checks guarantee secure transactions, while personal checks do not. Personal checks do not provide adequate guarantees against commercial risk because the bank does not guarantee the funds in the account of the issuer. 
  • Payment Order (orden de pago): Through a payment order to the bank in Spain, the importer pays the exporter’s bank the amount due by using a correspondent bank in the base country. The initiative for the payment in this case is the importer’s responsibility. These transfers, via SWIFT (Society for Worldwide Interbank Financial Telecommunications), are common in the Spanish banking system. 
  • Documents against payment (remesa documentaria): Exporters use this instrument to ensure the possession of the merchandise until they have received payment or at least until the importer accepts a bill of exchange. 
  • Documentary Credit (crédito documentario): This enables safer transactions owing to the involvement of banks in both countries. In this case, the importer’s bank insures against the entry of a third party (an exporter, the bank or a correspondent bank).


Further counseling on international payment methods can also be obtained from U.S. Export Assistance Centers, The International Chamber of Commerce (ICC), local chambers of commerce, the U.S. Government Export Portal and at Unzco.
The ICC has also recently introduced a mechanism to settle letter-of-credit disputes, DOCDEX, or Documentary Credit Dispute Resolution Expertise.

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.