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In this video tutorial from WallStreetmojo, the host introduces the concept of a Letter of Credit (LC), key in the debt capital market. An LC is described as a written commitment to pay, issued by the buyer's bank (the issuing bank) to the seller's bank (the accepting or negotiating bank). The tutorial aims to clarify the terminology associated with LCs, emphasizing that it ensures timely payment from the importer (buyer) to the exporter (seller). Viewers are encouraged to subscribe for more content.