Advised Letter of Credit

An Advised Letter of Credit is a financial document reviewed and forwarded by an advising bank to the beneficiary. The advising bank verifies the authenticity of the L/C without adding its own guarantee.

The advising bank ensures the letter of credit’s legitimacy. It does not assume any financial responsibility.

Examples of advising banks include HSBC, Citibank, and JPMorgan Chase. These institutions confirm the document’s authenticity.

The beneficiary receives the letter of credit through the advising bank. This process ensures the document’s validity.

The advising bank’s role is crucial in international trade. It provides a layer of security for the beneficiary.