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backward communication from beneficiary to issuing bank
Posted: Tue May 04, 2010 10:23 pm
by CDCS2009
Hello there,
as per UCP600, all amendment from the issuing bank to the beneficiary must follow the same route as that of LC. is it also true to communication other than amendment?
again if the benefciary wants to communicate the issuing bank, is it necessary to follow the same route?
Of course its possible
Posted: Tue May 04, 2010 11:52 pm
by WARLORD77
Dear CDCS,
Its possible to communicate to issuing Bank backwards but only through Banks and not from beneficary to the issuing Bank directly, As such, Let me give you a live examples :
* Issuing Bank transmitted MT700 LC to the Beneficiary Bank, Beneficary Bank found some contradictions or missing information in the LC, in this stage, the Beneficiary Bank would Contact the issuing Bank for Either making Amendments or Clarifications.
* If all LC charges to be borne by the applicant, and till date no charges received by the beneficary Bank, then the Beneficary Bank would contact the Issuing Bank for the charges.
* Beneficary Bank claimed money from Reimbursement Bank, but Reimbursment Bank informed them that no Authorisation Reimbusement received from the issuing Bank, here you must contact issuing Bank to reimburse or pay your proceeds.
The exclusion here is that Beneficary Bank cant Create Amendments from their side.
Others comments are appreciated.