Packing loan means a short-term trade financing offered by the bank to the corporate customer who meanwhile is the beneficiary of the letter of credit, by paying the customer upon its application an specialized loan in an amount equal to a proportion of the LC amount before the shipment, to facilitate the purchase of raw material, manufacture, warehousing and transportation of the export products. After shipment, when the customer presents the documents required by the LC through the bank for payment, the bank will be entitled to use the reimbursement from the issuing bank or its nominated bank as the first resource to repay the loan.