Issuance & Amendments
- MT700 field structure
- MT707 amendments
- Expiry and presentation periods
- Reimbursement mechanics
Documentary Trade Finance
MT700 Documentary LC Issuance Services
Arrangement and coordination of documentary letters of credit under UCP 600, including MT700 issuance, MT707 amendments, confirmation, reimbursement and documentary structuring.
Letter of Credit Issuance
Structure the LC around the shipment and payment obligation
Financely coordinates documentary LC issuance for importers, traders and operating companies with defined supplier transactions.
We align the wording, document set, issuer, confirmation requirement and reimbursement mechanics before issuance.
The objective is a workable instrument that can be presented, examined and settled without avoidable documentary disputes.
Request a QuoteScope
Documentary LC structuring and execution
Banks & Confirmation
- Issuer selection
- Advising-bank coordination
- Confirmation availability
- Country and bank limits
Documents & Presentation
- Incoterms alignment
- Commercial and transport documents
- Inspection and insurance requirements
- Discrepancy-risk reduction
Settlement
- Sight payment
- Usance structures
- Discounting where applicable
- Reimbursement and expiry monitoring
Transaction Profile
What is required to assess the LC
Commercial Transaction
- LC face amount from USD 5 million
- Named applicant and beneficiary
- Shipment calendar
- Incoterms
- Currency and tenor
Credit & Documentation
- Applicant KYC and ownership
- Financial profile
- Draft LC wording
- Document list
- Confirmation and reimbursement requirements
Procedure
Four stages from review to settlement
1
Assess
Review the applicant, beneficiary, shipment, amount, tenor, Incoterms and required bank structure.
2
Draft
Align UCP 600 wording, documents, presentation conditions, reimbursement terms and confirmation requirements.
3
Issue
Coordinate compliance, credit approval, MT700 issuance and MT707 amendments where required.
4
Settle
Track presentation, discrepancies, payment and reimbursement through expiry or final settlement.
Pricing depends on bank, tenor and documentary risk
Final economics vary with issuing bank, confirmation requirement, jurisdiction, currency, tenor and the applicant's credit profile.
- LC issuance fee
- Confirmation margin
- Advising fees
- Reimbursement charges
- Amendment costs
- Discounting margin where applicable
- Advisory and arrangement fees
Frequently Asked Questions
MT700 documentary letters of credit
What is an MT700?
MT700 is the SWIFT message used to issue a documentary letter of credit containing the operative terms of the bank's undertaking.
What is an MT707?
MT707 is used for amendments to an existing documentary letter of credit, such as changes to amount, shipment terms, expiry or documentary requirements.
Can an LC be confirmed?
Yes, subject to the confirming bank's appetite for the issuing bank, country, amount, tenor and instrument terms.
Does Financely issue the LC directly?
No. Financely acts as advisor and arranger. Documentary letters of credit are issued by third-party financial institutions subject to credit approval, compliance and final documentation.
Request an MT700 LC quote
Submit the applicant, beneficiary, transaction amount, currency, Incoterms, shipment schedule and draft LC wording for review.
Financely acts as advisor and arranger and is not an issuing bank or
direct lender. Documentary letters of credit remain subject to KYC, AML,
sanctions screening, credit approval, documentary compliance, definitive
documentation and final approval by the relevant issuing institution.