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SWIFT MT-199 – General Free-Format Message

📨 SWIFT MT-199 – General Free-Format Message

MT-199 is a free-format message type used on the SWIFT network for bank-to-bank communication that doesn’t fit into predefined message structures like MT-700 (LC), MT-103 (wire transfer), or MT-760 (guarantee). It is often used for pre-advice, follow-ups, confirmations, status updates, or general instructions.

📘 What is an MT-199?

A SWIFT MT-199 is a general-purpose financial message used for:

  • Text communication between banks

  • Confirming receipt of other SWIFT messages

  • Verifying instructions

  • Providing information related to existing transactions

It does not move money or constitute a legal obligation, but it can be used to verify intent, share instructions, or respond to other SWIFT messages.

⚙️ Common Uses of MT-199

Use Case Description
✅ Pre-advice Notify the recipient bank that a formal SWIFT message (e.g., MT-760 or MT-103) will follow.
📩 Follow-up Confirm that a message like an MT-700 or MT-103 was sent and request confirmation.
🧾 Clarification Ask for additional details on a previously received SWIFT message.
🔒 Authentication Respond to KYC or compliance checks.
📌 Status Update Inform about transaction delays, confirmations, or expected delivery times.
⚠️ Error Handling Clarify corrections or revisions to a prior message.

🧾 Sample MT-199 Format

swift
CopyEdit
{1:F01BANKUS33AXXX0000000000} {2:I199BANKGB22XXXXN} {4: :20: REF199USCPB001 :21: RE MT-700 LC12345678 :79: WE HEREBY CONFIRM THAT THE STANDBY LETTER OF CREDIT UNDER OUR SWIFT REFERENCE LC12345678 HAS BEEN SENT TODAY TO YOUR INSTITUTION. PLEASE ACKNOWLEDGE RECEIPT AND CONFIRM THAT THE BENEFICIARY HAS BEEN ADVISED. }

🛠️ Field Breakdown

Field Tag Description
:20: Transaction reference number (assigned by sender)
:21: Related message reference (e.g., the MT-700, MT-103 number)
:79: Free-format text (the body of your message)

🏦 Is MT-199 a Commitment?

No. An MT-199 is not a legally binding message. It cannot be used to transfer funds, issue instruments, or provide unconditional guarantees. However, it can serve as supporting evidence of communication, pre-advice, or process confirmation.

If a commitment is needed, use:

  • MT-760 for guarantees or SBLC

  • MT-700 for Letters of Credit

  • MT-799 for pre-commitment advice with structured wording

🔐 Security and Authentication

  • MT-199 messages are still sent over the secure SWIFT network and must be authorized by SWIFT-compliant banks.

  • They are traceable, timestamped, and cryptographically secured.

  • Often used in due diligence and compliance workflows.

🧠 Real-World Scenarios

Situation Why Use MT-199?
🎯 A bank wants to confirm a transaction before issuing a guarantee Send an MT-199 to confirm details
📨 A receiving bank did not acknowledge an LC Send an MT-199 as a follow-up
🔄 A client wants to modify LC details The issuing bank may notify via MT-199 before issuing MT-707
🕵️‍♂️ Compliance officer needs status of incoming MT-760 Request update using MT-199

🧭 Related SWIFT Message Types

Message Type Function
📝 MT-799 Pre-advice or structured free text, sometimes used for intent declaration
💳 MT-700 Issuance of a Letter of Credit
🛡️ MT-760 Issuance of a Standby Letter of Credit or Guarantee
💸 MT-103 Customer payment (wire transfer)

📞 Contact Us for Assistance

For MT-199 drafting, compliance support, or verification assistance:

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