2.3.2 Business Scenario

Scenario 1 - Doc Submission for Discount

Collecting bank will send MT410 Acknowledgement Message to Remitting bank upon receipt of Documents from Remitting bank, and the same will be informed to importer.

Acceptance

If importer finds the docs are Credit Compliant, Importer will inform the same to collecting bank, collecting bank will send MT412 Acceptance Message to remitting bank. The same will be informed to the exporter thru remitting bank.

Discount

After Acceptance if the importer requests for Bill Discount, Collecting bank can provide Discount to the customer. During Discount Collecting bank debit the Bill Discounted GL and credit the nostro account.

Collecting bank will send MT400 will to remitting bank. Upon Receipt of MT400 Remitting bank will debit the nostro account and credit the customer’s settlement account.

During realization collecting bank will debit the customer account for discounted amount and interest and credit the respective bill discounted and income GLs.