dear experts please provide me what is the meaning of the below clause in bank to bank LC
FEILD 78: INSTRUCTION TO PAYING/ACCEPTING/NEGOTING BANK:
AS PER ISSUING BANK QUOTE
THE NEGOTIATING BANK IS AUTHORIZED TO REIMBURSE ITSELF WITH OUR ACCOUNT HELD WITH THE REIMBURSING BANK STATED UNDER FEILD 53 A TO THE EXTENT OF USD 1000 BY ADVISING TO US BEFORE THREE BANK WORKING DAYS
PLEASE COMMENTS
The Negotiating Bank Is Authorized To Reimburse Itself
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kishorp
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reimbursement clause
Hi friend,
The field78 wording itself, states that the negotiating bank, upon receipt of conform documents, will claim reimbursement from reimbursing bank the mentioned amount, with 3 days value date and inform issuing bank
accordingly.
The negotiating bank, as per often practice, probably refer to nominated bank that receives documents from beneficiary, examines and sends them to issuing bank.
The field78 wording itself, states that the negotiating bank, upon receipt of conform documents, will claim reimbursement from reimbursing bank the mentioned amount, with 3 days value date and inform issuing bank
accordingly.
The negotiating bank, as per often practice, probably refer to nominated bank that receives documents from beneficiary, examines and sends them to issuing bank.