Amendment by MT799 (free format SWIFT)

SvetlanaS · Post by **SvetlanaS** » Thu Sep 20, 2007 1:00 am

Bogdan, Vin and all.

Thank you all for the clear conclusion which makes perfect sense to me.

It is not uncommon for banks to use messages other than recommended SWIFT message types and not only with LC’s. but also collections and in particular guarantees and standby LC.

Can I ask a basic and probably not so smart question?

What exactly does it mean when a bank issues a SWIFT Authenticated Message, even if it is not the exactly correct type which we all now agree is best to use.

Maybe the message was issued by a head office on behalf of a branch?

Is a bank bound or obligated by the contents of an authenticated SWIFT message or is it just the branch?

I did a search on google and found some interesting information on SWIFT standards and messages but did not get a clear answer to this question.

Again apologies if this question is too basic.

[edited 9/20/2007 12:22:42 PM]

PaulMiserez · Post by **PaulMiserez** » Tue Sep 25, 2007 1:00 am

Svetlana, some definitions from our glossary...
Authenticated message:
"A SWIFTNet FIN message that has been authenticated between the sender and the receiver. Confirmation is done by means of an authenticator result contained in the Message Authentication Code trailer (MAC trailer) of the message."
Authentication:
"A process that SWIFT uses to confirm the identity of the sender or receiver of a message, or to prove the integrity of specific information. Message authentication determines the source of a message, and verifies that no-one has modified or replaced the message during transit."
SWIFT handbook contains full details, which I shall not bore you with here...
Paul

SvetlanaS · Post by **SvetlanaS** » Tue Oct 16, 2007 1:00 am

Thank you for this valuable information which is a concise and clear answer.

Svetlana