What is Forex Rapid Rebate rebateforexfee cashback forex Foreign exchange borrowing refers to the foreign currency borrowing that can directly or indirectly create foreign exchange income rebateforexbroker has the ability to repay the enterprise and the enterprise that does not generate foreign exchange but has the ability to repay, in the introduction of foreign advanced technology and equipment and shortage of raw materials for technological transformation, because of the need for foreign exchange funds and apply to the bank to borrow foreign currency at present, the enterprise can obtain from the bank foreign exchange borrowing are cash rebateforex, syndicated loans, short-term foreign exchange loans, special foreign exchange loans, etc. Short-term foreign exchange loans, special foreign exchange loans, etc. Types of foreign exchange loans foreign-related enterprises to have the right to operate foreign exchange banks or financial institutions to apply for foreign exchange borrowing, from the banks point of view called loans foreign exchange bank for foreign exchange loans are cash loans, special foreign exchange loans, buyers credit, government loans, mixed loans and international syndicated loans, etc., the borrowing currency of U.S. dollars, yen, pounds, Hong Kong dollars, euros, etc. Buyers credit and government loan projects can also choose the currency of the other country Spot foreign exchange loans are banks with foreign exchange operating authority in accordance with the foreign exchange credit plan approved by the state and the foreign borrowing plan, the foreign exchange raised from the international financial market and foreign exchange deposits absorbed in the country for the issuance of foreign exchange loans foreign exchange loans are mostly spot loans At present, banks with foreign exchange operating authority for spot loans are floating Interest rate loans, preferential ForexRapidRebate rate loans, special interest rate loans, foreign exchange loans for mechanical and electrical products working capital, foreign exchange loans for foreign contracts, short-term working capital foreign exchange loans and foreign exchange loans for foreign-invested enterprises and other seven types of foreign exchange loans return Foreign exchange banks or financial institutions for foreign-related enterprises to implement the foreign exchange loans "borrowing and repayment, who borrowed who repay "principle, the borrowing enterprise must be borrowed in accordance with the provisions of the contract to repay the principal and interest, the borrowing unit is unable to repay the loan, the guarantee unit should be repaid borrowing enterprises such as the specified period can not return the loan principal and interest, can apply to the bank for an extension of the principal and interest can not be returned on schedule without approval, the bank as an overdue loan processing, and charging interest on foreign exchange borrowing repayment methods. Mainly the following: (1) direct repayment of foreign exchange earnings with foreign exchange earnings that enterprises approved by the state and by the foreign exchange management department, the foreign exchange designated banks to open foreign exchange accounts do not settle foreign exchange earnings (2) according to the loan agreement, the purchase of foreign exchange from foreign exchange banks in RMB to repay (3) repayment with debt service fund The state encourages and supports the regions, departments and foreign debt more enterprises according to a certain percentage of the debt balance The State encourages and supports regions, departments and enterprises with large foreign debts to establish debt service funds in a certain proportion of the debt balance, and to deposit the special export remittance approved by the State directly into the cash account opened in the foreign exchange bank, specifically for the return of the principal and interest on foreign exchange borrowings. Borrowing in U.S. dollars as the accounting currency, such as the use of other currencies, need to be converted into U.S. dollars according to the current foreign exchange rate, special circumstances approved by the bank can also use other currencies as the accounting currency for borrowing and lending but, in principle, the buyers credit "what currency to borrow to pay back what currency" and pay interest in the corresponding currency (3) foreign exchange borrowing to implement the floating interest rate and the payment of bearing fees The interest rate and the method of payment of the assumption fee bank short-term foreign exchange loans at floating interest rates charged interest enterprises according to the borrowing plan to apply for foreign exchange loans are not used, the bank should charge a certain fee as the assumption fee to make up for the temporary dispatch of foreign exchange losses foreign exchange loans for foreign exchange borrowing enterprises to obtain foreign exchange loans, must have the following conditions (1) the borrower is a legal person borrowing needs to be registered by the administrative department for industry and commerce in accordance with the law Registration, business license, with legal personality banks do not issue foreign exchange loans to individual entrepreneurs (2) domestic support to be implemented in general, the import of foreign equipment, but also need to have plant, auxiliary equipment, raw materials and other domestic human and material resources to cooperate, to be able to normal operation, the formation of production capacity so, the use of foreign exchange loans to import foreign equipment projects, must first implement the domestic support measures (3 ) The loan project must be approved and incorporated into the plan (4) repayment is guaranteed foreign exchange loans must be repaid in foreign currency so the borrower must have a reliable source of foreign currency and the ability to repay the principal and interest on schedule, and put forward a well-founded repayment plan (5) the economic benefits of using the loan project must be good loan project in line with the four requirements of spending less, gaining more, generating high foreign exchange and repaying faster foreign exchange borrowing Accounting for foreign-related enterprises There are many kinds of foreign exchange loans applied to foreign exchange banks or financial institutions, but there are only two types of short-term loans and long-term loans 1. Accounting for short-term foreign exchange loans Accounting for short-term foreign exchange loans Foreign-involved enterprises borrowed from banks within one year or a business cycle of foreign exchange loans, for short-term foreign exchange loans Example 1 A foreign-involved enterprise according to the credit contract to foreign exchange banks to borrow USD 100,000, to pay for the purchase of materials, the exchange rate is USD 1,000,000. The purchase price of materials, the exchange rate of USDl = CNY7.51, the entry is as follows: Debit: material procurement - a supplier (100000 × 7.51) 751000 Credit: short-term loans 751000 This short-term loans to maturity, to purchase in RMB (the total principal and interest) USDl00500, the exchange rate of USDl=CNY7.50, the entry is as follows: Debit: Short-term loans 751000 Finance costs - interest expense (500X7.50) 3750 Credit: Bank deposit (100500X7.50) 753750 Exchange gain/loss 1000 2. Accounting for long-term foreign exchange borrowings Long-term foreign exchange borrowings are Foreign-related enterprises to banks or other financial institutions borrowed from the repayment period of more than one year of various foreign currency borrowing long-term borrowing interest expenses and foreign currency translation differences should be different objects and the time of occurrence of different accounting treatment Foreign-related enterprises in order to reflect and monitor the long-term foreign exchange borrowing, accrued interest and return of principal and interest, should be set up "long-term borrowing "This account should be set up according to the borrowing unit, type of borrowing and different currencies for detailed accounting Example 2 A foreign-related enterprise borrows 3-year loan from foreign exchange bank according to the loan agreement USD50,000, interest rate of 10% per annum, compound interest once a year, and repay the principal and interest at the end of the loan, the accounting process and entries are as follows: (1) borrowing when the exchange rate is USDl = CNY7.53: Debit: Bank Deposit (50000 × 7.53) 376500 Credit: Long-term loans 376500 (2) At the end of the first year, the exchange rate when the interest on the loan is paid USDl=CNY7.52: Interest amount=50000×10%=USD5000 Debit: Finance cost - interest expense (5000×7.52) 37600 Credit: Long-term borrowing 37600 (3) At the end of the first year, the RMB balance of long-term borrowing is adjusted according to the ending USD exchange rate: Book RMB balance=376500+37600=414100(yuan) RMB balance adjusted by year-end exchange rate=(50000+5000)×7.52=413600(yuan) Difference(exchange loss)=414100-413600=-500(yuan) Debit: Exchange gain/loss 500 Credit: Long-term borrowing　　　　　　　　　　　　　　　　　　　　500 (4) In the second year, the interest rate is USDl=CNY7.53: Interest amount=55000×10%=USD5500 Debit: Finance cost - interest expense (5500×7.53) 41415 Credit: Long-term loan 41415 (5) At the end of the second year, the interest is paid according to the closing rate of USDl=CNY7.53. (5) At the end of the second year, the interest is paid, and the book balance of long-term loans is adjusted according to the closing exchange rate USDl=CNY7.53: Book balance in RMB=413600+41415=455015(yuan) After adjusting the year-end exchange rate, the balance in RMB=(55000+5500)×7.53=455565(yuan) The difference (exchange loss)=455015-4555=-550(yuan) (yuan) debit: exchange gain or loss 550 credit: long-term loans 550 (6) at the end of the third year when the interest rate is USDl = CNY7.50: interest amount = (50000 + 5000 + 5500) × 10% = USD6050 debit: finance costs (6050 × 7.50) 45375 credit: long-term loans 45375 (7) at the end of the third year at the end of the exchange rate USDl=CNY7.50 Adjustment of RMB balance of long-term borrowing: Book RMB balance=413600+41415+45375=500390(yuan) RMB balance adjusted by year-end exchange rate=(50000+5000+5500+6050)×7.50=499125(yuan) Difference(exchange gain)=500390- 499125 = 1265 (yuan) Debit: long-term loans 1265 Credit: exchange gain or loss 1265 (8) long-term loans at the end of 3 years, the total principal and interest USD 66550, when the 13 U.S. dollar purchase price of 7.51 yuan, the entry is as follows: Debit: long-term loans (66550 × 7.50) 499125 exchange gain or loss 665.5 Credit: bank deposits (66550 × 7.51) 499790.5 51) 499790.5 Example 3 A large foreign enterprise in U.S. dollars as the local currency of account, for a new project to the bank borrowed USDl00000, the annual interest rate of 10%, its limit of 3 years, compound interest, the end of the second year to return 50% of the principal and interest due, the rest due to return, the construction project in the second year of completion and delivery of its accounting process and entries are as follows: (1) when borrowing money: debit. Bank deposits - USD USDl00000 Credit: long-term loans - USDl00000 The accounting treatment of the construction of new projects refers to the treatment of corporate financial accounting (2) At the end of the first year, the accrued interest is (3) At the end of the second year, the accrued interest is USDll000: Debit: Fixed Assets - Construction Expenses USDl0000 Credit: Long-term Borrowing - USDl0000 (3) At the end of the second year, the accrued interest is USDll000: Debit: Fixed Assets - Construction Expenses USDl1000 --(4) At the end of the second year, 50% of the principal and interest is paid: 121,000 × 50% = USD60,500 Borrowing: Long-term borrowing --(5) At the end of the third year, the accrued interest is USD6050: Debit: Finance costs - - Interest expenses USD6050 -(6) At the end of the third year, the accrued interest is USD6050: Debit: Long-term borrowing - USD66550 Credit: Bank deposit --After the foreign-related enterprises borrow foreign currency from foreign exchange banks, they can establish a special account for debt service fund to raise and return foreign currency borrowings after the approval of relevant state agencies or foreign exchange administration. Example 4 A foreign-related enterprise is approved to establish a debt service fund with export remittance, export remittance USD 350,000, as a debt service fund, and set up "debt service fund" under the "bank deposit" account. "(1) When transferring the export remittance to the special account for storage: Debit: Bank Deposit - Debt Service Fund USD350,000 Credit: Accounts Receivable USD350,000 (2) With the approval of the Foreign Exchange Bureau, purchase USIM50000 in RMB and transfer it to the special account for storage. The exchange rate is USDl=CNY7.15 (RMB check is issued for RMB3375000): Debit: Bank Deposit - Debt Service Fund (USD450000) CNY3375000 Credit: Bank Deposit - CNY3375000 -CNY3375000 (3) approved to transfer USD200000 from the U.S. dollar deposit cash account to a special account for the purpose of returning foreign currency borrowings: Debit: Bank Deposit - Debt Service Fund UDS200000 Credit: Bank Deposit --(4) Returning the principal of USD950,000 and interest of USD50,000: Debit: Long-term borrowing (or short-term borrowing) - USD950,000 Finance costs ---Interest expense USD50000 Credit: Bank deposit --- Debt service fund USD1000000