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Dear Experts,

Sight confirmed LC:

Does beneficiary consider the pre debit/Pre remit notification given in the LC for remittance? We are in a situation that we efffected payment per three days Pre-debit notification given in the LC for the confirmed LC,however, beneficiary is claiming delay interest for the 3 days citing the pre-debit notification is internal communication on reimbursement between banks and commitment(irrespective of payment from the issuing bank) to beneficiary on payment under confirmation should not delayed because of such conditions and failure of payment/issues from issuing bank must be resolved between banks, they are further adding that '' confirmation commitment should not be dependent on reimbursement from the bank as beneficiary is being charged separately for this.

The above message is the Doc prep company who have been in the LC business for many years.

Surprise to see such comments from them.

Thanks & Regards
Dinesh Kumar

Hi Pal,

in advising a l/c, banks must inform beneficiary about payment terms, specially when l/c has been confirmed. However 2/3 days value are market conditions. But customers may pretend.....
Ciao