Overview of L/C Confirmation
- - L/C beneficiary may request L/C confirmation when he/she has doubts about creditworthiness of issuing bank or issuing country or he wants to negotiate documents without recourse.
- - Confirmation is available for stand-by L/C’s for finance and payment guarantee as well as documentary L/C’s for payment of proceeds of goods.
- - Confirming bank is liable for obligation of the issuing bank without condition.
- - Confirmation is requested to the confirming bank by the issuing bank.
- - It is not a must but confirming bank usually locates in the same country with the beneficiary and it must be acceptable to the beneficiary at all times.
- - Citibank should be appointed as the advising bank for confirmation by us.
※Will be able to verify authenticity of the instrument.
※Will be able to check amendment detail, if any.
Transaction Flow Diagram
Main Target Customers
- - All exporters exporting goods by L/C’s
- - In particular, exporters whose relationship with importers are not old.
- - Exporters exporting goods to high sovereign risk country.
※Collection risk may be reduced when export process is handled by Citibank network all over the world.
