Field 71B: Charges

Article 71B: Charges is a field under the MT 700 Issue of a Documentary Credit swift message. This field specifies the charges to be borne by the beneficiary.

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What is Field 71B: Charges?

Field 71B: Charges is a field in MT 700 swift message type that is used to specify charges to be borne by the beneficiary.

This is an optional field.

A bank instructing another bank to perform services is liable for any commissions, fees, costs or expenses (“charges”) incurred by that bank in connection with its instructions.

If a credit states that charges are for the account of the beneficiary and charges cannot be collected or deducted from proceeds, the issuing bank remains liable for payment of charges.

A credit or amendment should not stipulate that the advising to a beneficiary is conditional upon the receipt by the advising bank or second advising bank of its charges.

FORMAT

Option B (Narrative)

In addition to narrative text, the following line formats may be used:
(Code)(Currency)(Amount)(Narrative)

CODES One or more of the following codes may be used, followed by the currency code and amount:

  • AGENT Agent’s commission
  • COMM Our commission
  • CORCOM Our correspondent’s commission
  • DISC Commercial discount
  • INSUR Insurance premium
  • POST Our postage
  • STAMP Stamp duty
  • TELECHAR Teletransmission charges
  • WAREHOUS Wharfing and warehouse

MT 700
Field 71B: Charges:
DEFINITION
This field may be used only to specify charges to be borne by the beneficiary.

USAGE RULES

  • In the absence of this field, all charges, except negotiation and transfer charges, are to be borne by the applicant.
  • Any code used in this field must be between slashes and must appear at the beginning of a line.
  • Narrative text must not begin with a slash and, if used, must begin on a new line and be the last information in the field.