MT700 SWIFT Message in Documentary Credit

MT700 SWIFT Message

Last updated on June 3rd, 2021 at 05:10 am

SWIFT is a secure message platform used by banks. There are various types of SWIFT messages used in different cases. Here we are discussing MT700 type SWIFT message.

Not only in Letter of credit, Open Account, Standby LC, Sending payments are also communicated through SWIFT messages by issuing banks and beneficiary banks.

MT700 SWIFT message is a type of message which is used by the LC issuing bank for issuing a Letter of Credit.

MT700 swift

As per SWIFT:

This message is sent by the issuing bank to the advising bank.

It is used to indicate the terms and conditions of a documentary credit which has been originated

by the Sender (issuing bank). 

There are other message types in Category 7 like MT701, MT705, MT760, etc. use for other purposes.

DLC SWIFT MT700

Here you can see above a Letter of credit issued by issuing bank and SWIFT type is mentioned.

In the MT 700 message, there are several fields where terms and conditions are mentioned in a letter of credit.

MT 700 Format Specifications

For standards MT November 2020

Status Tag Field Name Content/Options No.
M 27 Sequence of Total 1!n/1!n 1
M 40A Form of Documentary Credit 24x 2
M 20 Documentary Credit Number 16x 3
O 23 Reference to Pre-Advice 16x 4
M 31C Date of Issue 6!n 5
M 40E Applicable Rules 30x[/35x] 6
M 31D Date and Place of Expiry 6!n29x 7
O 51a Applicant Bank A or D 8
M 50 Applicant 4*35x 9
M 59 Beneficiary [/34x] 10
M 32B Currency Code, Amount 3!a15d 11
O 39A Percentage Credit Amount Tolerance 2n/2n 12
O 39C Additional Amounts Covered 4*35x 13
M 41a Available With … By … A or D 14
O 42C Drafts at … 3*35x 15
O 42a Drawee A or D A or D 16
O 42M Mixed Payment Details 4*35x 17
O 42P Negotiation/Deferred Payment Details 4*35x 18
O 43P Partial Shipments 11x 19
O 43T Transhipment 11x 20
O 44A Place of Taking in Charge/Dispatch from …/Place of Receipt 65x 21
O 44E Port of Loading/Airport of Departure 65x 22
O 44F Port of Discharge/Airport of Destination 65x 23
O 44B Place of Final Destination/For Transportation to…/For place of delivery 65x 24
O 44C Latest Date of Shipment 6!n 25
O 44D Shipment Period 6*65x 26
O 45A Description of Goods and/or Services 100*65z 27
O 46A  Documents Required 100*65z 28
O 47A Additional Conditions 100*65z 29
O 49G Special Payment Conditions for Beneficiary 100*65z 30
O 49H Special Payment Conditions for Bank Only 100*65z  

31

O 71D Charges 6*35z 32
O 48 Period for Presentation in Days 3n[/35x] 33 33
M 49 Confirmation Instructions 7!x 34 34
O 58a Requested Confirmation Party A or D 35 35
O 53a Reimbursing Bank A or D 36 36
O 78 Instructions to the Paying/Accepting/Negotiating bank 12*65x 37
O 57a ‘Advise Through’ Bank A, B, or D 38
O 72Z Sender to Receiver Information 6*35z 39

Here,

M = Mandatory

O = Optional

Read also:  UPAS (Usance Payable at Sight) LC explained

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