When the documentary credit arrives
When you receive the documentary credit, you should study it thoroughly to make sure that the text is clear and unambiguous and that the terms and conditions are the same as you agreed with your customer. In this process it may be necessary to involve the company employees with responsibility for:
- ensuring that the goods are ready for shipment on time
- completing the documents
- arranging transport
Danske Bank can help you with an evaluation of the terms and conditions of the documentary credit.
You should ensure the following, among other things:
- that the documentary credit is issued by an acceptable bank
- that the documentary credit is subject to the international rules for documentary credits, UCP 600
- that you can comply completely with ALL the requirements
- that all the expressions in the documentary credit are clear and unambiguous
- that the documentary credit does not contain contradictory requirements
- that time limits for shipment and presentation of documents can be met
- that any insurance requirements are acceptable
- that requirements for transport and transport documents are acceptable
- that partial delivery or transhipment is allowed, if needed
- that your name and address are shown exactly as they appear in your documents
- that the buyer's name and address are shown correctly
- that the description of goods is shown as you will write it in the documents
You can get help with your documents in the box on the right.