Ƶ

Credit Facility Offer Letter for Australia

Credit Facility Offer Letter Template for Australia

A Credit Facility Offer Letter is a formal document issued by a financial institution to a potential borrower in Australia, outlining the terms and conditions under which credit will be extended. The document complies with Australian credit and banking regulations, including the National Consumer Credit Protection Act 2009 and the National Credit Code. It contains essential information such as the facility amount, interest rates, fees, repayment terms, conditions precedent, and security requirements. The letter serves as both a formal offer of credit and, upon acceptance, forms the basis of the legally binding credit agreement between the parties.

Your data doesn't train Genie's AI

You keep IP ownership of your information

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Download a Standard Template

4.6 / 5
4.8 / 5
Access for free
OR

Alternatively: Run an advanced review of an existing
Credit Facility Offer Letter

Let Ƶ's market-leading legal AI identify missing terms, unusual language, compliance issues and more - in just seconds.

What is a Credit Facility Offer Letter?

The Credit Facility Offer Letter is a crucial document in Australian banking and finance transactions, serving as the primary instrument for extending credit to businesses and individuals. It is typically used when a financial institution has completed its credit assessment and is ready to formally offer financing to a prospective borrower. The document must comply with various Australian regulatory requirements, including those set out in the National Consumer Credit Protection Act 2009 and the Banking Act 1959. The letter outlines all material terms of the facility, including amount, purpose, interest rates, fees, security requirements, and conditions precedent. It is designed to provide clear and comprehensive information to the borrower while protecting the lender's interests and ensuring regulatory compliance. The document forms the foundation of the credit relationship and, once accepted, becomes a legally binding agreement between the parties.

What sections should be included in a Credit Facility Offer Letter?

1. Lender Details: Full legal name, ACN/ABN, address, and contact details of the lending institution

2. Borrower Details: Full legal name, address, and relevant identification details of the borrower

3. Facility Summary: Key terms including facility type, amount, purpose, and expiry date

4. Interest Rate and Fees: Detailed breakdown of applicable interest rates, calculation method, and all fees and charges

5. Repayment Terms: Repayment schedule, payment methods, and frequency

6. Key Conditions Precedent: Essential conditions that must be satisfied before the facility becomes available

7. Representations and Warranties: Standard declarations required from the borrower

8. Events of Default: Circumstances that would constitute a default under the facility

9. Acceptance Method: Instructions on how to accept the offer and deadline for acceptance

What sections are optional to include in a Credit Facility Offer Letter?

1. Security Details: Required when the facility is secured, detailing the type and terms of security required

2. Guarantor Details: Required when the facility includes guarantors, including their obligations and details

3. Financial Covenants: Required for corporate borrowers or larger facilities, specifying financial ratios and reporting requirements

4. Insurance Requirements: Required for secured facilities or where specific insurance coverage is mandatory

5. Special Conditions: Any facility-specific conditions or requirements outside standard terms

6. Draw Down Procedures: Required for facilities with multiple draw downs or specific drawing requirements

What schedules should be included in a Credit Facility Offer Letter?

1. Schedule 1 - Standard Terms and Conditions: Detailed terms and conditions applicable to the facility

2. Schedule 2 - Fee Schedule: Comprehensive list of all fees and charges, including calculation methods and examples

3. Schedule 3 - Information Statement: Mandatory information statement required under the National Credit Code

4. Schedule 4 - Direct Debit Request: Direct debit authorization form and terms

5. Schedule 5 - Privacy Consent: Privacy acknowledgment and consent forms

6. Appendix A - Required Supporting Documents: Checklist of documents required for facility activation

7. Appendix B - Key Facts Sheet: Summary of key information as required by regulations

Authors

Alex Denne

Head of Growth (Open Source Law) @ Ƶ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Australia

Publisher

Ƶ

Document Type

Letter of Credit

Sector

Cost

Free to use
Relevant legal definitions













































Clauses




























Relevant Industries

Banking and Financial Services

Commercial Real Estate

Retail

Manufacturing

Agriculture

Mining and Resources

Construction

Healthcare

Technology

Transport and Logistics

Professional Services

Education

Hospitality

Energy and Utilities

Relevant Teams

Legal

Finance

Treasury

Credit

Risk Management

Compliance

Corporate Banking

Retail Banking

Operations

Documentation

Business Development

Relevant Roles

Chief Financial Officer

Finance Director

Treasury Manager

Credit Manager

Relationship Manager

Loan Officer

Credit Analyst

Legal Counsel

Compliance Officer

Risk Manager

Banking Manager

Corporate Banking Officer

Financial Controller

Business Development Manager

Company Secretary

Industries










Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

Find the exact document you need

Credit Card Increase Limit Letter

An Australian-compliant formal letter offering a credit card limit increase to an existing cardholder, including regulatory disclosures and terms.

Download

SBLC For Buyers Credit

An Australian-law governed Standby Letter of Credit securing buyer's credit facilities, providing bank-backed payment assurance in commercial transactions.

Download

Letter Of Credit Transaction

An Australian-compliant Letter of Credit document that facilitates secure international trade transactions under UCP 600 rules and Australian banking regulations.

Download

Letter Of Credit Collection

An Australian-compliant banking document that provides instructions for collecting payment against trade documents through the banking system.

Download

Lc Issuance

An Australian-law governed Letter of Credit document that provides payment security in international trade transactions through bank-backed guarantees.

Download

Credit Decline Letter

An Australian-compliant formal letter informing applicants of an unsuccessful credit application, including decline reasons and customer rights information.

Download

Standby Guarantee

An Australian law-governed financial instrument where a bank guarantees payment to a beneficiary upon demand if specified obligations are not met.

Download

SBLC Dlc

An Australian law-governed bank undertaking providing payment security through either Standby or Documentary Letter of Credit arrangements.

Download

Irrevocable Letter Of Credit Cost

An Australian-compliant financial instrument detailing the costs and terms of an irrevocable letter of credit, providing secure payment guarantees in international trade transactions.

Download

Import Export Lc

An Australian-law governed Letter of Credit agreement that establishes secure payment terms and documentation requirements for international trade transactions.

Download

Credit Letter In Business Communication

An Australian-compliant business document that formally establishes credit terms and conditions between commercial entities.

Download

Credit Card Noc Letter

An Australian-compliant formal letter confirming credit card account closure and settlement of all dues, issued by financial institutions to cardholders.

Download

Collateral For Letter Of Credit

An Australian law-governed agreement establishing security arrangements for letter of credit facilities through asset pledging and collateral management.

Download

90 Days Usance Lc

An Australian law-governed Letter of Credit document providing 90-day deferred payment terms for international trade transactions.

Download

180 Days Usance Lc

An Australian law-governed trade finance instrument providing 180-day deferred payment terms with bank guarantee for international trade transactions.

Download

Cash Backed SBLC

Australian law-governed agreement for Cash Backed Standby Letter of Credit, detailing terms, conditions, and cash backing requirements.

Download

SBLC Transferable

An Australian law-governed Transferable Standby Letter of Credit that provides a transferable bank payment guarantee, combining local regulations with international banking standards.

Download

Export Lc Discounting

An Australian law-governed agreement for discounting export letters of credit, establishing terms between financial institutions and exporters for early payment against LC rights.

Download

SBLC Non Recourse Loan

An Australian law-governed agreement for a non-recourse loan facility secured by a Standby Letter of Credit, limiting the lender's recourse to the SBLC collateral.

Download

SBLC Trade Program

Australian law-governed agreement establishing an SBLC Trade Program framework for international trade transactions.

Download

Credit Facility Offer Letter

An Australian-compliant formal letter from a financial institution offering credit facilities to a borrower, detailing key terms and conditions of the proposed facility.

Download

Banker's Usance Lc

An Australian-compliant financial instrument providing bank-guaranteed deferred payment terms in international trade, governed by Australian banking laws and UCP 600.

Download

Application For Letter Of Credit

An Australian-compliant formal application to a bank requesting the issuance of a Letter of Credit for international trade transactions.

Download

Usance Lc Discounting

An Australian-law governed agreement for discounting Usance Letters of Credit, enabling exporters to receive early payment on deferred-payment LCs through banking arrangements.

Download

Revolving SBLC

An Australian law-governed agreement establishing a Revolving Standby Letter of Credit facility with automatic reinstatement provisions.

Download

Payment Terms Dlc

An Australian law-governed agreement establishing terms and conditions for Documentary Letter of Credit arrangements in international trade transactions.

Download

Non Transferable SBLC

An Australian law-governed Non-Transferable Standby Letter of Credit providing bank-issued financial guarantee with restricted drawing rights to the named beneficiary only.

Download

Negotiation Bank In Lc

An Australian-law governed agreement setting out terms and conditions for Letter of Credit negotiations between banks and trading parties.

Download

Letter Of Credit Discounting Charges

An Australian-law governed document specifying terms and charges for Letter of Credit discounting services provided by a bank to its client.

Download

Irrevocable Lc Payment Terms

Australian-law governed Irrevocable Letter of Credit payment terms document specifying conditions and requirements for international trade financing.

Download

Credit Card Clearance Letter

An Australian-compliant formal document confirming the full settlement and closure of a credit card account, issued by financial institutions under Australian banking and consumer credit regulations.

Download

Freely Negotiable Letter Of Credit

An Australian law-governed banking instrument that provides secure, flexible payment in international trade, allowing negotiation with any bank under UCP 600 rules.

Download

Small Business Letter Of Credit

An Australian-compliant bank guarantee document that secures payment in international trade for small businesses, providing assurance to sellers while protecting buyers' interests.

Download

Red Letter Of Credit

An Australian-compliant Red Letter of Credit document enabling advance payment facilities in international trade, subject to Australian banking regulations and UCP 600.

Download

Loan Facility Letter

An Australian law-governed document setting out terms and conditions for a lending facility, serving as a binding agreement between lender and borrower.

Download

Non Operative Letter Of Credit

An Australian-compliant banking instrument that serves as a conditional payment guarantee in international trade, marked as non-operative pending fulfillment of specific conditions.

Download

Letter Of Credit In Logistics

An Australian-law governed financial instrument issued by banks to facilitate secure international trade transactions, combining payment assurance with logistics requirements.

Download

Letter Of Credit 90 Days

An Australian-compliant 90-day Letter of Credit document that serves as a bank's irrevocable payment guarantee in international trade transactions.

Download

Letter Of Credit 60 Days

An Australian-law governed Letter of Credit providing 60-day deferred payment terms for international trade transactions, compliant with UCP 600 and local banking regulations.

Download

Letter Of Credit 30 Days

An Australian-law governed Letter of Credit providing 30-day payment terms for international trade transactions, ensuring secure payment through banking channels.

Download
See more related templates

ұԾ’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; ұԾ’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

We are ISO27001 certified, so your data is secure

Organizational security:

You retain IP ownership of your documents and their information

You have full control over your data and who gets to see it