charges under transferable LC

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TFLT
Posts: 3
Joined: Wed Oct 24, 2018 11:46 am
First Name: Kiril
Last Name: Sokolov
Organization: Bank
Filter: Two Plus Two =: 4
Location: Lithuania

charges under transferable LC

Post by TFLT » Thu Apr 02, 2020 11:28 pm

Hello,

Please advise how issuing bank has to state charges clause in transferable LC: the aim is that charges outside issuing bank have be paid by first beneficiary, and charges of second bnf's bank, by second bnf. As I understand in original LC, IB cannot state such titles like first beneficiary or second, as original LC bears only field Beneficiary. Upon transferring LC I cannot change any data regarding charges, therefore in case this field states standard clause 'charges outside country xxx are for Bnf acc' will mean that, all charges will be covered by first beneficiary. So the question is how to divide charges to all parties involved in such transaction, i.e. applicant, 1 bnf, 2 bnf.

many thanks :)

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picant
Posts: 2026
Joined: Wed Aug 20, 2008 1:49 pm

Re: charges under transferable LC

Post by picant » Fri Apr 03, 2020 7:36 pm

Hi Pal,

you may insert in the field to charges," including transfer fees" referring to the person that has to
bear this cost.
Ciao

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