How a trading trading transaction works

  1. The buyer identifies the goods or services they require from the offers and requests listed in the LETSystem directory and contacts the seller.

  2. The buyer and seller then negotiate a price for the goods or services and agree on which LETSystem to trade - where they have a choice.

    Generally the transaction will be in part cash and part local money depending on the seller's need to cover costs or taxes.

  3. The buyer pays by authorising the transfer of local money from their account to that of the seller's. This is achieved in several ways varying from system to. The most common methods are:

    • phoning the Registry office with the details of the transaction,
    • signing an entry on a retail accounting sheet that is then sent or faxed to the Registry office for processing,
    • giving the seller a cheque to send to the Registry office.

    In each case, the details of the transaction need to be provided to the Recording Co-ordinators as follows:

    • the buyer's name and ID,
    • the seller's name and ID,
    • the amount in local money to be transferred,
    • the LETSystem used for trading,
    • and a description of the items (optional).

  4. The Recording Co-ordinators then log the transaction details into the computer accounting software which then balances the accounts.

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Version #002 27-7-96