Articles Q&A HOW TO PRESENT THE DOCUMENTS WHERE LC IS AVAILABLE WITH A NOMINATED BANK OUTSIDE THE BENEFICIARY’S COUNTRY By Mr Old Man Posted on December 19, 2016 3 min read 10 0 3,641 Share on Facebook Share on Twitter Share on Google+ Share on Reddit Share on Pinterest Share on Linkedin Share on Tumblr This place is called God’s Well. I came here with some of my biking friends with our bikes on the shoulders. Dare not come back here again! QUESTION Dear Mr Old Man, We received an L/C with the details as follows: Sender: ABC Bank Singapore Receiver: XYZ Bank Vietnam Expiry date: 1/1/2017 in Vietnam Available with ABC Bank Singapore by negotiation. I see that L/C would be normally available with any bank in Vietnam or with a named bank bank in Vietnam by negotiation. So, the beneficiary can present the documents to any bank or a named bank in Vietnam for negotiation. However, the L/C in this case is available with ABC Bank Singapore by negotiation. We do not know how to present the documents. Would you kindly clarify this matter for me? Thank you so much! T.T ———– ANSWER Hi, I guess it is an MT710 (Advice of a Third Bank’s or Non-Bank’s Documentary Credit). This message is sent by an advising bank which has received from the issuing bank or the non-bank issuer, to the bank advising the beneficiary or another advising bank. So, it is understood in this case that ABC Bank Singapore is acting both as the advising bank and as the nominated negotiating bank and that XYZ Bank Vietnam is acting as another advising bank. The beneficiary may present the documents via a bank in Vietnam (e.g., XYZ Bank Vietnam) to ABC Bank Singapore for negotiation. The bank in Vietnam is acting as a presenter making the presentation on behalf of the beneficiary. Kind regards, Mr. Old Man
IS THE NOMINATED BANK REQUIRED TO VERIFY WHETHER THE BENEFICIARY HAS AUTHORIZED THE PRESENTING BANK TO PRESENT THE DOCUMENTS?
IS THE NOMINATED BANK REQUIRED TO VERIFY WHETHER THE BENEFICIARY HAS AUTHORIZED THE PRESENTING BANK TO PRESENT THE DOCUMENTS?