Textile companies take note! Starting next year, all commercial bills worth more than 3 million yuan will be electronic! Paper bills may be out of history!

Introduction; Against the background of frequent paper ticket cases, this year the central bank finally used its unprecedented strength to comprehensively promote the use of electronic tickets! It is understood that on September 7, the bank received the “Notice on Regulating and Promoting the Development of Electronic Commercial Bill Business” issued by the People’s Bank of China (Yinfa [2016] No. 224, hereinafter referred to as Document No. 224).
There are three main highlights of this document: First, the expansion of participants in the bill rediscount market, all financial institutions can participate, paving the way for the establishment of a bill exchange. The second is to cancel the trade background review for electronic bill discounting and guide the use of electronic bills. Third, the use of electronic tickets is mandatory for purchases above a certain amount.
Recently, ICBC responded to the central bank’s policy and issued an announcement on the limit of paper acceptance bills. The announcement content is as follows:
Starting from January 1, 2017, all commercial acceptances accepted by our bank with a single invoice amount of more than 3 million shall be handled through electronic commercial drafts. Our bank will no longer handle invoices with an issuance date after January 1, 2017 and Discounting, rediscounting, and reselling of paper commercial bills (including bank acceptance bills and commercial acceptance bills) with a single issue amount of more than 3 million yuan, but the collection and payment business of paper commercial bills can be accepted .
Starting from January 1, 2018, in principle, all commercial bills accepted by our bank with a single issuance amount of more than 1 million should be processed through electronic bills. In principle, our bank will no longer process bills with an issuance date on January 1, 2018. However, the collection and payment of paper commercial bills can still be accepted.

Friendly reminder from the editor: After the implementation of the new regulations, textile enterprises are advised to pay attention to the discounting and rediscounting time of the paper acceptance bills on hand to avoid losses caused by handling them according to the law!
So, what are the advantages of electronic bills compared to paper acceptance bills?


First, corporate financing efficiency has been improved
In the process of using electronic commercial bills, enterprises can not be restricted by time and space, and the transaction efficiency is greatly improved, which can improve the company’s capital turnover speed, smoothen the company’s financing channels, and improve the company’s financing efficiency.
​Secondly, the security factor of corporate transactions has been greatly improved
Electronic commercial bills replace paper bills with data messages, use electronic signatures instead of physical signatures, and are recorded in the central bank’s ECDS system. It is very difficult to forge or tamper with, and the issuance and circulation information of electronic bills can be checked in the system at any time, ensuring Improve the security of electronic commercial draft use.
It is reported that paper tickets have many problems in the entire operating environment, and ticket cases such as cloning and copying are relatively common in practice. The electronic ticketing system established in 2009 has not had a single case or fraud so far. Acceptance bills are now popular in the textile industry. After the full implementation of electronic bills of exchange, the transaction security factor of enterprises has also been greatly improved.
​Finally, the short-term financing capabilities of enterprises have been enhanced
The textile industry has been in recession in the past two years, and some companies have difficulty withdrawing funds and cannot repay due bank loans in a timely manner. However, according to bank practice, when companies renew loans from banks, they must first repay the old ones before borrowing new ones. The companies have no choice but to borrow from private capital to repay the loans. “Crossing a bridge once will only break your muscles and bones for a hundred days.”
Now, the payment period of electronic commercial bills is up to one year, which has enhanced the company’s short-term financing capabilities and helped to further reduce the company’s short-term financing costs and reduce the company’s financial expenses.