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Available by sight payment, deferred payment, acceptance and negotiation

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Tue, 02/21/2012 - 02:25
leechiankoh
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Joined: 11/23/2007
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Hi,

In UCP600, Article 6 (b): A credit must state whether it is available by sight payment, deferred payment, acceptance or negotiation.

 

What means by:-

 

1)      Available by sight payment

2)      Available by deferred payment

3)      Available by acceptance

4)      Available by negotiation

 

Can someone please kindly help to explain?

 

Regards,

 

‹ MT754 UCP 600 OR URC 522 ›
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Tue, 02/21/2012 - 05:03
#1
Mustahid
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Joined: 05/22/2009
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It's a mode of retirement of lc

Art-06 of UCP 600 states-

how the lc will be settled. It indicates that the nominated bank will endorse/deliver the documents upon the 4 different mode i.e 1- upon rerceipt of sight payment, 2- upon receipt of acceptance of def payment, 3-upon receipt of the acceptance of the importer and 4-the nominated bank may negotiate/purchase the documents.

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Tue, 02/21/2012 - 04:05
#2
Armagedo
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Joined: 09/10/2007
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Article 2

Have you ever read Article 2?

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