Document Send Under Collection Under URC

[imuwhocares]

Documents send against sales contract. Documents release against acceptance. Acceptance receive on full documents value for example $10,000.00. but at the time of payment Buyers Bank made payment $7,000.00. Buyers Bank gives clarification as per buyers request they have made such payment.

now what steps beneficiary/exporter will take to repatriate the balanced amount?

[picant]

Hi Pal,

the collecting bank has no liability as the draft has been accepted by drawee. At maturity it is posible to effect partal payment without delivering the accepted draft and eventually protest it for the unpaid balance.
However a lawyer may help you to obtain the balance.
Other comments appreciated
Ciao

[imuwhocares]

Thanks for reply...but the collecting bank gave reply as they have close their file and the payment was final...
what type of help remitting bank can sought from collecting bank or what advice/help remitting bank can give to his beneficiary/exporter

[picant]

Hi Pals,

I think you can claim about this, if the collecting bank closed the file, it must return the unpaid document, being bill of exchange or other drawee undertaking. On receipt of this you will start a legal action to recover the amount unpaid.
Try to urge said bank,
Good luck
Ciao

[thuyvan]

I have just read this situation and totally agree with Picant, collecting bank was wrong doing. Our bank-as remitting bank- have had faced the same situations, at last collecting bank transfered the balance after more than a month arguing. Hope that your deal is ok now.