Uncategorized TRANSFERABLE LC By Mr Old Man Posted on March 6, 2013 2 min read 4 0 3,563 Share on Facebook Share on Twitter Share on Google+ Share on Reddit Share on Pinterest Share on Linkedin Share on Tumblr QUESTION John writes: Dear oldman, I am middle man who got the order from the buyer and requested my supplier to ship directly to my customer on CIF terms. How can I make sure that my supplier name is not appeared in bill of lading. Do I have to talk to the same carrier that my supplier is shiping and get it switched to my name and send my own invoice to buyer? or request supplier to ship on my name? If he ships on my name then I have to put my invoice and my margin would be know to my supplier. What would be the best option for me to hide both supplier and buyer from each other.———-ANSWER Dear John, You should ask the buyer to open a transferable L/C in your favour, and then you ask the transferring bank to transfer the L/C to the supplier/second beneficiary. B/L showing any party as shipper is acceptable. So you can require the B/L to indicate your name as shipper. When the supplier/second beneficiary presents the documents to the transferring bank, you can substitute your own invoice and draft. This way can help prevent the buyer and the supplier from knowing each other, and help prevent the supplier from knowing the margin that you earn.. Switch B/L is very complicated. Better not. Best regards,Mr. Old Man