Hi Participants,
.
Can a draft be drawn on Reimbursing Bank with/without Reimbursement Undertaking?
.
Regards.
Draft drawn on Reimbursing Bank
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bdesh
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shahriar
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yes its possible
yes, a draft can be drawn on the reimbursing bank as per URR725 which as per article 2 says
c. "Reimbursement authorization" means an instruction or authorization, independent of the credit, issued by an issuing bank
to a reimbursing bank to reimburse a claiming bank or, if so requested by the issuing bank, to accept and pay a time draft drawn on the reimbursing bank.