Transferable Letter of Credits.

[gegeeee]

Colleagues hi,

Need you valuable opinion regarding below mentioned cases:

Under UCP600:
1) Transferring bank means a nominated bank that transfers the credit or, in a credit available with any bank,
a bank that is specifically authorized by the issuing bank to transfer and that transfers the credit. An issuing
bank may be a transferring bank

Case number 1)
Credit is available with any bank, In such situation issuing bank should authorize a bank to transfer a credit. This will be the case when, nominated bank is different from transferring bank

Case number 2)
Credit is available with issuing bank, In such situation issuing bank should transfer the credit. Am i correct? There can not be another bank which will transfer the credit while credit is available with issuing bank

Case number 3)
Credit is available with the nominated bank (Bank ABC.), ABC Bank should make a transfer, because credit is available with ABC Bank. Issuing Bank can not authorize another Bank to transfer the credit. Am i correct?

My understanding is that, with which bank the credit is available it should transfer the credit, exclusion is when credit is available with any bank.

Thank u in advance

[Navi]

Hi friend,

For the case number 1 and 3, I aggree with you.

But for case nr.2, I am in the opinion that despite field 41A states issuing bank in the LC, issuing bank may authorize another bank in field 47A, to transfer the credit.

Regards

[shafi865]

Agree with all three cases depict by gegeeee