who should send the text of l/c to nominated bank?

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hassan
Posts: 90
Joined: Tue May 20, 2008 5:19 pm

who should send the text of l/c to nominated bank?

Post by hassan » Sat Apr 18, 2009 12:24 pm

Dear all,
I have faced with a more or less strange case in practice. pleasae help me.
CASE:
l/c was available with bank N (in feild 41A was mentiond bank N)and the advising bank also was same bank.
the issuing bank sent bank N an amendment as follow:
" in feild 41A please read bank S (the neaw nominated bank) instead of existing"
question:
1)how the bank S will get the l/c text and it,s amendments so that can do cheking of docs in presentation?
2)which bank is requied(according to UCP, ...)to send the l/c and amendments to bank S? bank N or issuing bank?
3)what is difference between above amendment and trasmitting of l/c to bank S?

iLC
Posts: 504
Joined: Thu Jun 26, 2008 10:33 pm

advising bank vs nominated bank

Post by iLC » Sun Apr 19, 2009 9:32 pm

it appears from your post that primarily bank N was both the advising and sole nominated bank. later the issuing bank changed the nominated bank; probably the beneficiary requested for that; to bank S. is this the case? we i see no problem. as an advising bank, bank N will advise the original credit and all the amendment to the beneficiary. the beneficiary will then present the document to bank S as if its a freely negotiable letter of credit. please correct me if im wrong in getting you.

about your question 2, of course the amendment will be routed via bank N

about point 3, im not sure about the question. anyway, an advising bank is always keep it status as an advising bank.

hassan
Posts: 90
Joined: Tue May 20, 2008 5:19 pm

WHO MUST SEND L/C TO NOMINATED BANK?

Post by hassan » Mon Apr 20, 2009 11:58 pm

Thank you ilc,
i want to know who must send the original l/c and it,s amendments to nominated nank(bank S)? ISSUING BANK DIRECTLY OR ADVISING BANK AND OR BENEFICIARY? FOR CHEKING DOCS IT MUST HAVE THE L/C.

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shahriar
Posts: 923
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First Name: Shahriar
Last Name: Masum
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advising bank

Post by shahriar » Tue Apr 21, 2009 7:44 pm

in my opinion the issuing bank should send the document to the advising bank N and advising bank will send the credit to beneficiary and beneficiary will send the credit to bank S.

in other way, bank N may use bank S as second advising bank and route the document to beneficiary via bank S.
in any case, its the beneficiary who will be getting the letter of credit, not any bank

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