According to the statistics of Mainland Affairs Council, the value of Taiwan's trade with Chinese Mainland totaled US$61,639.1 billion in 2004. In which, Taiwan's exports to Chinese Mainland were 44,960.4 billion, while Taiwan's imports from Chinese Mainland were US$16,678.7 billion. Taiwan got a total favorable balance US$28,281.7 billion. Based on these statistics, it was obvious that the trade exchange of cross-strait offered a great contribution to Taiwan's economic growth. In other words, it also means that the payment terms of cross-strait trade shows the importance to Taiwan's exporters. There are many different payment terms that can be used for making payments to the beneficiary in the international trade. Of them, Letter of Credit is usually regarded as a fair one which may be easily accepted by both exporters and importers. No matter Taiwanese exporters choose any payment terms, they can consider employing the methods of Forfaiting and Factoring to transfer the payment risks to banks.