🏦 Advising Bank
US Capital Private Bank Knowledge Base
📖 What is an Advising Bank?
An Advising Bank is a financial institution that receives a letter of credit (LC) from the Issuing Bank, verifies the authenticity of the LC, and then forwards it to the beneficiary (usually the exporter or seller). The Advising Bank acts as a trusted intermediary in the transaction.
⚙️ Role and Responsibilities
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Verification: Confirms the legitimacy and accuracy of the letter of credit issued by the Issuing Bank.
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Notification: Notifies the beneficiary that the LC has been issued and advises them of its terms.
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Document Handling: May assist the beneficiary with the preparation and presentation of documents required under the LC.
❌ No Payment Obligation
It is important to note that the Advising Bank does not assume any payment responsibility under the letter of credit. Their role is purely administrative and facilitative.
💡 Why is the Advising Bank Important?
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Trust and Security: The Advising Bank ensures that the beneficiary receives a genuine and verified LC, reducing the risk of fraud.
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Local Expertise: Often located in the beneficiary’s country, the Advising Bank provides local support and guidance regarding the LC terms.
📞 Contact US Capital Private Bank
📧 Email: [email protected]
🌐 Website: https://uscapitalprivatebank.com