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Home Tag Archives: Reimbursing bank

Tag Archives: Reimbursing bank

WHEN DOES A CONFIRMING BANK INSIST ON INCLUDING A REIMBURSING BANK IN AN LC?

By Mr Old Man
February 8, 2025
in :  Mr Old Man, Payment, Q&A
0
577

Intro From time to time, confirming banks request that an LC be amended to nominate a reimbursing bank, or even to obtain a reimbursement undertaking. A reader recently asked whether this practice is supported by ICC rules, or whether it is simply a matter of banking practice and risk management. It is a good question, because many practitioners assume that …

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Rupnarayan Bose: I fully agree with this view. What the UCP says is the minimum obligation of the...

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