at sight by acceptance?

MIA19 · Post by **MIA19** » Sat Jan 08, 2011 5:07 pm

Hi to all,
We have received documents including draft drawn at sight with instruction on cover letter: 'deliver documents against payment/acceptance' Is this contradictory intruction? Can 'at sight' draft be sent 'for acceptance' only?
thanks
regards
Snježana

picant · Post by **picant** » Sat Jan 08, 2011 5:30 pm

Hi Pal,

Collection with acceptance-release of documents only against payment (acceptance d/p):
I found this possibility in a booklet by Swiss Bank Corporation regarding URC 322. The bank in now in UBS and URC is 522, but the intention is still valid, assuming that presentation could be made on vessel arrival, the exporter will attend few weeks to be sure that buyer will take up documents against payment, in the mean time a bill of exchange will be accepted, but documents remain at collecting bank, waiting for vessel' arrival. So the exporter will be sure that documents will be paid. Can you realize the scenario? If not, I will try to be clearer.

Other comments appreciated
Ciao

MIA19 · Post by **MIA19** » Sat Jan 08, 2011 9:49 pm

Thanks for your help.
I think I got the scenario. This is not in fact delivery against acceptance than against payment.
Anyway we have sent an inquiry to presenting bank and I shall inform you when they reply.
-
Another question:
When sight draft is accepted what is the time frame for payment?
regards
Snježana

picant · Post by **picant** » Sun Jan 09, 2011 1:18 am

Hi Pal,

In my Country, Italy, a sight draft must be presented for payment within one year from the date of issuance.
So an accepted draft at sight, I think, the difference will be in the possibility of protest; in a not accepted draft protest has not meaning, in accepted draft if something very negative for the drawee.
Other comments appreciated
Ciao

offthegrid · Post by **offthegrid** » Sat Apr 02, 2011 12:24 am

Hello mate this is nice thread. Thanks for sharing such information.

Chak · Post by **Chak** » Thu Apr 07, 2011 7:58 pm

This is a nice question and thanks for posting it.