L/C Amendment

An L/C Amendment is a formal document issued by the issuing bank, at the request of the applicant or beneficiary, to modify certain terms of an already issued irrevocable letter of credit. Use cases include: amending the L/C amount, validity period, shipment date, document requirements, transport terms, etc. Precautions: 1. The amendment must be accepted by the issuing bank, the confirming bank (if any), and the beneficiary to take effect; 2. Upon receiving the amendment, the beneficiary should clearly state acceptance or rejection; silence does not constitute acceptance; 3. If the amendment increases the issuing bank's liability, the issuing bank's consent is required; 4. Partial acceptance of an amendment by the beneficiary may be possible, but must be handled with caution. Distinction from other terms: An L/C Amendment is different from the original L/C itself and from an L/C notification; it supplements or changes the original L/C and legally constitutes part of the original L/C. In practice, amendments are usually sent via SWIFT MT707 format.