Hi expert,
I wanna ask you something about drawn for SBLC subject to UCP 600. Let say we had received Swift from Beneficiary's bank on 16 May 17 to call our SBLC without any instruction to extend and all docs presented are comply (ie draft & statement) and inform our customer right away. The 5th day for rejection or payment is on 23 May 17. On day 4th, Our cust forwarded their email conversation with beneficiary via email to us. The point is that the beneficiary dont want to call the SBLC they just want to get assured that their guarantee/SBLC will be extended before the expiry date on 31 May 2017. The problem is we must seek some approval to extend the SBLC on behalf of our customer and it probably beyond from the agreed maximum days for notification under UCP600. On the 5th day, issuing bank sent SWIFT to beneficiary's bank said that we are now working for the extension of SBLC. Are this action right?
Drawn Under SBLC Subject To UCP 600
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dyco
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picant
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Cooperation time
Hi Pal,
as you said the availment of SBLC is ok, so you have to pay! But applicant and beneficiary agreed in extending such SBLC. You need few days to obtain your internal authorization to do so.
I think you may wait a couple of weeks, then pay or extend the SBLC.
I think you have to inform the presenting bank about it.
Other comments appreciated
Ciao
as you said the availment of SBLC is ok, so you have to pay! But applicant and beneficiary agreed in extending such SBLC. You need few days to obtain your internal authorization to do so.
I think you may wait a couple of weeks, then pay or extend the SBLC.
I think you have to inform the presenting bank about it.
Other comments appreciated
Ciao