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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CDCS2009
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- Last Name: Birsk
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by CDCS2009 » Mon Dec 27, 2010 11:38 pm
hello all,
i would appreciate if someone please explain "Another bank's choice" in URC522 article 5d
d. For the purpose of giving effect to the instructions of the principal, the remitting bank will utilize the bank nominated by the principal as the collecting bank. In the absence of such nomination, the remitting bank will utilize any bank of its own, or another bank's choice in the country of payment or acceptance or in the country where other terms and conditions have to be complied with.
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picant
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by picant » Tue Dec 28, 2010 1:30 am
Hi Pal,
Usually in foreign trade collections, banks send remittances to the collecting bank indicated by the principals, also if they have no direct relationship with such banks.
But we can try to think to major banks that have a big portfolio and they sell these collections to other banks; if the colls are domiciliated ok, but when the only data is the address of the debtor, the presentation for payment could be made by any banks, independently by whiich bank would effectively cash the money.
Being no nativr speaker please let me know if all is clear.
Other comments appreciated
Ciao
