Can we issue MT710 to second advising banks within the same city, if yes what are the pros and cons in the usage of the same
Pls comment
Pitfalls in using MT710 locally in a small region like Dubai
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JudithAutié
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- Joined: Fri Apr 05, 2019 5:20 pm
Pitfalls in using MT710 locally in a small region like Dubai
Hi
There is no reason that a 710 cannot be sent to another bank in the same city.
Pitfalls ? Usually a problem of fees and charges -- if all charges are for the beneficiary and they present the documents not to the second advising bank but to the first one, you have to be careful to ask the second advising bank whether or not they have collected their charges. Otherwise you could be liable to them as per Art 18c. being the party from whom they received the instructions. This is more likely to happen when the two banks are in the same city/area than if the two banks are geographically or politically distant.
Regards
Judith
There is no reason that a 710 cannot be sent to another bank in the same city.
Pitfalls ? Usually a problem of fees and charges -- if all charges are for the beneficiary and they present the documents not to the second advising bank but to the first one, you have to be careful to ask the second advising bank whether or not they have collected their charges. Otherwise you could be liable to them as per Art 18c. being the party from whom they received the instructions. This is more likely to happen when the two banks are in the same city/area than if the two banks are geographically or politically distant.
Regards
Judith