Introduction: In trade finance, especially under letters of credit, questions often arise around the treatment of surrendered bills of lading—particularly when only a copy is presented. One common point of confusion is whether such documents fall under UCP 600 Article 20, which governs bills of lading. In this Q&A, we clarify whether Article 20 applies to surrendered bills of lading, …

In documentary credit practice, few terms cause more misunderstanding than “documents sent on collection basis” — especially when a letter of credit (L/C) is involved and payment is at stake.  In this Q&A, Mr. Old Man responds to a concerned exporter whose bank forwarded documents to the issuing bank after noting discrepancies. Are the documents still governed by UCP 600? …

Introduction: At first glance, the roles of confirming and nominated banks under UCP 600 seem clearly defined—but in practice, especially when more than one confirming bank is involved, the lines can blur. What happens when a credit is confirmed by two banks, but documents must be presented at only one location? Who is obligated to pay, and what if the …

Intro: This note aims to clarify how amendments to a master letter of credit (LC) may impact a corresponding back-to-back LC (sometimes referred to as the “baby LC”) in a typical back-to-back LC structure. It also addresses the practical considerations around the timing and coordination of such amendments — specifically whether both LCs must be amended simultaneously, or if acceptance …

The joys of LC compliance—where even your insurance document can make or break a negotiation. In today’s Q&A, a reader preparing documents for LC negotiation stumbles upon a classic trade finance brain teaser: What exactly is an “Insurance Policy in Negotiable Form endorsed in blank”? . Is it about bearer documents? Is there an endorsement ceremony involved? Or is it …

Intro: A colleague recently asked me whether a bill of lading (BL) can show the place of issue as a location in the country of destination, rather than at the place of receipt or port of loading, especially when the LC requires a multimodal transport document. Since this is a common point of confusion — and not explicitly addressed in …

Intro: When documentary collections involve terms like co-acceptance or avalization, collecting banks can find themselves on the hook — often without fully realizing the implications. Two related questions from SAR highlight a common confusion: What happens when a bank co-accepts a bill? And in cases of avalization, who should the bill be drawn on? In this Q&A, Mr. Old Man …

Intro For importers, it’s important to be cautious about a “TTR” (telegraphic transfer reimbursement) clause in a Letter of Credit. This clause allows the negotiating bank to send a SWIFT request and get paid by your bank before the documents even reach you—and before you’ve had a chance to check them and use them to claim the goods. This can …

Vijay Ramanuiam – a respected expert in export credit and letters of credit – recently shared with me an article titled “Shipowner on Hook for Swiss Bank’s Gulf Petrochem Loss”, authored by Felix Thompson and published in Global Trade Review on 23 July 2025. Read the article here. The piece covers a significant decision by the High Court of Madras …

Intro: When a letter of credit calls for a EUR.1 certificate, can a beneficiary submit one that covers only part of the shipment—while the rest of the goods lack preferential origin? In this thought-provoking question from Domenico, we examine whether such a presentation is compliant or discrepant under UCP and ISBP rules. As always, when it comes to documentary credits, …