The presenting party presents the documents under the original L/C to the bank using the application. This an be one of the parties of the original L/C (1st beneficiary) or it can be entered freely.

This is the party that has to make payment under the original L/C.

The original export L/C has been advised in favor of the 1st beneficiary. When the documents are presented by the 2nd beneficiary, the 1st beneficiary is entitled to substitute the bill and any drafts presented from the 2nd beneficiary with its own documents in order to utilize the original export L/C.

The 2nd beneficiary is the party in whose favor the original L/C has been transferred. This is the exporter of the goods who creates and presents (if not otherwise required in the L/C) the documents requested under the transfer.

The presenter presents the bank using the application with the documents under the transferable L/C. This can be one of the parties to the transfer document set (2nd beneficiary, advising bank) or can be entered freely.

The 'Account with' bank is the correspondence bank of one of the parties. It is specified, if the bank using the application does not have a direct account relationship with the party.

The issuing bank is the bank that has been instructed by the applicant to advise the original L/C.

The reimbursing bank is one of the correspondence banks of the transferring bank. Usually, the transferring bank has accounts with the reimbursing bank in foreign currencies, which can be specified when the transfer is opened for the transferring bank in a foreign currency. The bank where the transfer is available can reimburse the reimbursing bank at maturity.

This party is not a party to the underlying foreign trade transaction.

This is required for internal operations of the application in order to secure the correct booking of liabilities should the liability party be changed.

If the beneficiary's documents are handed over to a bank other than the advising bank against payment, acceptance or deferred payment, this bank can also be entered

If the advising bank is not the principal bank of the 2nd beneficiary, a 2nd advising bank can be entered.

The advising bank is the bank that receives notification of the L/C transferred which it then sends to the 2nd beneficiary or its bank.

If the bank using the application is not the beneficiary's principal bank or if the applicant requires the L/C to be advised by a bank other than the bank using the application, this bank can be entered here. All correspondence to the beneficiary is then sent to this 2nd advising bank. There is then no direct contact to the beneficiary.

If the Export L/C is not presented directly to the bank using the application but through an intermediary corresponding bank of the issuing bank, this is what is called the advising bank. The 1st advising bank can be used if the issuing bank has an agreement with the issuing bank that states that all L/Cs for a certain country can/should only be advised by the 1st advising bank.

Besides the issuing bank's irrevocable pledge to make payment, there can also be further hedging of the L/C provided by the confirming bank. This second promise to make payment serves to hedge risks that might be founded in the issuing bank (country-based and/or bank-based) and in the importer's country (e.g. risks covering a payment moratorium due to a shortage of foreign currencies). The confirming bank is liable to the beneficiary if the issuing bank does not meet its obligations under the L/C.

The confirming bank can be the bank using the application or another bank.