Since banks are usually the counterparty to FRAs, the customer must have a line of credit established with the bank in order to enter into a forward rate agreement. A credit quality control usually requires 3 years of annual visits to be taken into account for a FRA. The duration of the contract is usually between 2 weeks and 60 months. However, FRAs are more readily available in multiples of 3 months. Competitive prices are available for fictitious capital of $5 million or more, although lower amounts may be offered by a bank for a good customer. Banks like FRAs because they don`t have capital requirements. FRA is charged in cash.