Value Decreased Under Confirmed LC

[Praveen]

Dear Experts,

We have issued an LC with confirmation, after 2 days we have received an amendment from applicant for decreasing the amount but the confirmation bank has not given confirmation and advise to beneficiary.
My query is

1) Confirmation will change at the time of amendment?

[picant]

Hi Pal,

all it is possible, you may send the amendment message and wait. The behaviour of the advising, probably confirming, bank, will decide the further treatment of the question. Naturally, you will ask the bank to obtain acceptance.
Other comments appreciated
Ciao

[Navi]

Hi,

For an LC to be amended, agrement of issuing bank, beneficiary and confirming bank needed according to UCP 600, 10a. As for 10b, issuing bank is bound by amendment as of the time it issues but confirming bank must decide whether to extend its confirmation for the amendment.
.
In your case, confirming bank probably advised amendment but not decided to add its confirmation to amendment and may be waiting beneficiary's consent for the amendment.

[hrn201]

In this case Advising Bank and Confirming Bank is same. To advice a amendment is done as advising bank. Add confirmation is independent of advising amendment here. In other sense confirming bank added confirmation for a higher LC value. So u should not worried about confirmation of amendment. If amendment is accepted then confirming bank may add his confirmation to the amendment.

[dodo]

Hi,
in this case, this is necessary to receive the confirmation notice from the confirming bank. When there is no their confirmation, the L/C or amendment have not been confirmed yet.