Documents sent on approval

Documents sent on approval,

Definition of Documents sent on approval:

  1. Letter of credit (L/C) arrangement in which the negotiating bank does not certify the documents (presented by the beneficiary) that they meet the requirements of the L/C. Instead, the documents are sent to the issuing bank for examination and acceptance and (if any discrepancy is found) to obtain any waiver from the account party.

Meaning of Documents sent on approval & Documents sent on approval Definition