Discrepancies of Letter of Credit

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Discrepancies of Letter of Credit

Common discrepancies in the export documents

  1. Claused/unclean/foul/dirty Bill of Lading.
  2. Charte–party/stale/third party Bill of Lading (Unless stipulated in the letter of credit )
  3. ON BOARD notation in B/L updated/unauthenticated.
  4. Shipment effected from the port other than that stipulated in the credit.
  5. Goods shipped on deck (Unless stipulated in L/C)
  6. Full set of Bill of Lading not presented.
  7. Certificate of the country of origin not provided.
  8. Certificate notifying the insurance company of shipment not presented.
  9. Weightment certificate not presented.
  10. Cuttings/alterations in documents not authenticated.
  11. Documents inconsistent with each other.
  12. Description of goods on invoice differs from that in the credit.
  13. Weights differ between documents
  14. The amounts are shown in invoice and Bill of Exchange differ.
  15. Shipping marks and numbers differ between documents.
  16. Credit amount exceeded.
  17. Letter of Credit expired.
  18. Documents not presented in time/stale Bill of Lading.
  19. Late shipment.
  20. Short shipment.
  21. The absence of documents called for in the credit.
  22. Bill of Exchange drawn on a wrong party.
  23. Bill of Exchange payable on an indeterminable date.
  24. Bill of Lading, Insurance documents or Bill of Exchange are not endorsed correctly.
  25. The absence of signatures, where required, on documents, presented.
  26. Bill of Lading does not evidence whether freight is paid or not.
  27. Packing list not submitted.
  28. Part shipments /transshipment effected not being covered by the L/C terms.
  29. Notify party differs / not as per L/C stipulation.
  30. Third party Bill of Lading / short form bill of lading submitted.
  31. Inspection certificate not submitted.
  32. Unit price not mentioned in invoice.
  33. Description of documents on collection schedule differs with documents presented.
  34. Fumigation/Health certificate (fit for human consumption) not submitted.
  35. Forwarder’s cargo receipt not acceptable (unless provided in the L/C).
  36. House Airway Bill not acceptable (unless stipulated in the L/C).
  37. Shipment details not sent.
  38. Inspection certificate not duly authenticated by the negotiating Bank.
  39. Beneficiary’s Credit Report Not submitted.
  40. Clause No ………..    of the page No…….. of the L/C not complied with.
  41. HS Code not mentioned in all documents.
  42. A postal receipt submitted instead of DHL Courier receipt.
  43. Draft has drawn on ………… Bank only and “ A/C Applicant” not mentioned.
  44. Courier Receipt not evidencing dispatch on one set non-negotiation docs. under  L/C and signed by the sender on proper place / and certificate of beneficiary absent.
  45. Courier Receipt not signed/chopped by the Courier Company and description of documents not also evidencing non-negotiable documents under above-mentioned L/C.
  46. Separate shipment advice sent to Insurance Company and ( importer Bank) is not made/only one copy of C.C. sent out of 3 (three) copies.
  47. Certificate of origin not dully authenticated by the negotiating Bank.
  48. Country of origin not mentioned in the packing list as per L/C clause No. ………
  49. B/L sign by ……………… in violating Art. No. of UCPDC600.
  50. Beneficiary’s certificate of conformity not submitted. Etc.

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