agreed, if charges were on applicant (whatever) means beneficiay entitled to received full amount.

Dear Snjezana, Your question is very justified and has been discussed at our counters as well. Especially when issuing banks give a maximum ( not exceeding) amount AND quantity and prohibit partial shipments. We have the same interpretation as you. i.e. any quantity/amount up to the maximum given in...

Dear Sohail, as you mentioned withholding tax on export proceed, I totally, agree with you. but here case is totally different: 1. you are a issuing bank instead of beneficiary's bank. 2. beneficiary is not holding resident status in that country. 3. if there is any local law, normally, tax imposed ...

Bank books contigent liability upto expiry of counter guarantee, it entitled bank to charges commission upto that date.

Dear DenielD, As per my understanding legalize means to went through a process through which something should become legal i.e. in some some countries if you want to make a contract/guarantee (with legal bindings) you have to make that contract/guarantee on stamped paper or put revenue stamp (direct...

ISBP 184. Consignee information, if shown, must not be in conflict with the consignee information in the transport document. However, if a credit requires a transport document to be issued "to order", "to the order of shipper", "to order of the issuing bank" or "co...

Please clarify: l/c asked for signed commercial invoice and certified that goods are as per contract xyz. but invoice presented does not certified but but only state goods are as per contract. Is it a discrepancy, as l/c specifically asking for certification from beneficiary and there is no other do...

Dear Gabriel,

Could you please share with us the outcome of this issue?

Regards / Akin

This is a matter related to the risk/credit department of the bank and not to the L/C dept.
We do this quite frequently for drawees approved by risk/credit dept or transactions done under export risk insurance

Issuing bank has the right to effect payment before maturity and to be released from all of its obligations. Obviously such payment must be made without any deduction of interests/charges for prepayment.