Collection D/A under URC 522

Simple is Beautiful; the only thing came in my mind when thought of documentary collection. And I think more and more people are thinking the same in these days. Documentary Collection offers us far greater security than selling on open account; but not as much as a documentary credit. We should therefore be more cautious before starting selling using this method of payment. Documentary Collection Forum is an effort to help you on this way – admin; besttradesolution.com
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picant
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Joined: Wed Aug 20, 2008 1:49 pm

Collection D/A under URC 522

Post by picant »

H
iPals,

a collection from India containing a draft, where the collectiong bank is quoted with full address,
the cover letter states drawee name as the importer, tenor D/A 30 days sight.
Bill of lading consigned to the collecting bank.
It is risky for the collecting bank to endorse the bill of lading, delivery documents under a simple acceptance of the draft by the drawee?
Let me know.
Ciao
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