What Is Direct Benefit Transfer?

1.	What Is Direct Benefit Transfer?
Answer» Sir When a LC is ISSUED in continuation of an existing Letter of Credit. Arrangement in which one irrevocable letter of credit serves as the collateral for ANOTHER; the advising bank of the FIRST letter of credit becomes the issuing bank of the SECOND letter of credit. Sir When a LC is issued in continuation of an existing Letter of Credit. Arrangement in which one irrevocable letter of credit serves as the collateral for another; the advising bank of the first letter of credit becomes the issuing bank of the second letter of credit.

Answer»

Sir When a LC is ISSUED in continuation of an existing Letter of Credit. Arrangement in which one irrevocable letter of credit serves as the collateral for ANOTHER; the advising bank of the FIRST letter of credit becomes the issuing bank of the SECOND letter of credit.

Sir When a LC is issued in continuation of an existing Letter of Credit. Arrangement in which one irrevocable letter of credit serves as the collateral for another; the advising bank of the first letter of credit becomes the issuing bank of the second letter of credit.

Discussion

No Comment Found

Related InterviewSolutions

Does The Marine Insurance Cover The Risk Of Damage To Goods At A Warehouse At Port Of Discharge Or Just During Voyage?
Is The Issuing Bank Allowed To Make Payment In A Currency Other Than The Currency Agreed In The Letter Of Credit?
What Is Reverse Factoring? How Is This Different From Factoring?
What Is Avalisation?
How Relevant Is A Letter Of Credit In A World Where Most Trade Is Done Under ‘open Account’ Terms?
How Many Times Can A Letter Of Credit (lc) Can Be Amended?
What Documents Are Required For A Letter Of Credit?
What’s Deferred Payment And How Does It Differ From A Usance Letter Of Credit?
Can A Bank Guarantee Be Issued For Services And Goods Such As Commodities?
How Long Can A Usance Letter Of Credit Be Opened For?