alleryStart learning →What does the advising bank do in a letter of credit transaction?
AGuarantees payment itself
BInforms the beneficiary of the credit
CIssues the credit to the buyer
DCollects the goods from port
Answer & Solution
Correct answer: B. Informs the beneficiary of the credit
The advising bank informs the beneficiary of the credit and passes on the original credit and any amendments.
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