The field of international finance can be highly complex and challenging to navigate. One of the major issues that individuals and businesses face is the lack of comprehensive documentation that delves into the intricacies of products and processes related to the role of banks and the legal frameworks of international bodies like the International Chamber of Commerce (ICC). To truly gain a deep understanding of the practical applications of international trade, it is essential to study the process and documentation flows that pertain to these transactions. Also, trade-based money laundering is another important aspect of modern day’s international trade scenario. We have touched upon each of these aspects to make this chapter an interesting and important document in connection with the overall modern international trade atmosphere. Recently, there has been some literature available that bridges the existing gap between theory and practice related to international trade and finance. These resources cover a wide range of topics, from banking theories to operational procedures relating to the methods of payment in international trade, and the use of various Letters of Credit (LCs), for example, revolving LCs, back-to-back LCs, transferable LCs, standby LCs, with their specific applications of documents and documentary compliances. Also, the significance of merchanting trade and the differences between export credit and trade credit have been discussed in the literature. Besides, different types of bank guarantees are discussed with their practical applications. Hedging of foreign exchange risk for the merchants has been discussed elaborately. On the other hand, the mechanism of interbank cover operation is discussed to elaborate the risk mitigation techniques in the banking book. Also, some empirical literature has been referred to which highlights the change in operational efficiency of the banks if the credit risk and the market risk become an integral part of the efficiency measure.