Negotiation Letter of Credit (MT700) – Secure Early Payment with Document
Control Flexible Export Financing | Negotiation Rights at Trusted Banks | MT700 SWIFT-Compliant Issuance
⚠️ Still Waiting for Your Buyer’s Bank to Release Funds?
A South Asian textile exporter faced 45-day payment delays. By using a Negotiation LC issued via NNRV’s bank partners, they received early payment against compliant documents. Result: No cash flow gap, no risk.
🧠 “NNRV helped us negotiate documents and get paid in advance. That LC changed everything.” – A. Mehta, Textile Trader
What is a Negotiation Letter of Credit (LC)?
A Negotiation LC is a documentary credit that allows any nominated bank (or a specified one) to examine and negotiate compliant shipping documents by advancing payment to the seller before receiving funds from the issuing bank.
At NNRV Trade Partners, we structure Negotiation LCs via SWIFT MT700 through a trusted global network, ensuring that sellers can access cash earlier and negotiate flexibly while remaining UCP 600-compliant.
🧠 “The buyer’s bank was slow, but our negotiating bank paid in 48h. No delays, no stress.” – Norbert J., Agro Commodity Exporter
Key Benefits of Negotiation LC
✅ Early Access to Cash – Get advanced payment once documents are verified.
✅ Flexibility on Banks – Negotiation can occur at any nominated bank.
✅ Strong Seller Leverage – Allows exporters to retain control over document flow.
✅ Global Trust – Issued via MT700 and accepted under ICC UCP 600.
✅ Optional Confirmation – Extra protection when added to negotiation rights.
How Does a Negotiation Letter of Credit Work?
Buyer Requests Negotiation LC – Specifies negotiation at a nominated bank.
LC Issued via SWIFT MT700 – Including terms for document negotiation.
Seller Ships & Submits Documents – Fully compliant documents submitted to negotiating bank.
Bank Verifies & Pays Seller – The bank negotiates and advances payment.
Bank Claims from Issuer – The negotiating bank receives funds later from the issuing bank.
📂 Documents Required for Negotiation LC Issuance
To facilitate the issuance of a Negotiation LC, we require the following documents:
📌 Commercial Invoice – Matching LC terms.
📌 Transport Documents – Bill of Lading, Airway Bill, etc.
📌 Packing List & Certificate of Origin
📌 Signed Sales Contract
📌 Legal Company Documents & KYC
📌 Bank Account Details & Compliance Info
🏦 Detailed Table: Approved Issuing & Negotiating Banks for Negotiation LC (MT700)
We work with top-tier financial institutions and banking partners for the issuance of Negotiation Letters of Credit (MT700), ensuring global coverage and reliability.
| Bank Name | SWIFT Code | Advantages | Disadvantages | Issuance Fees | Issuance Time | Min. Transaction | LC Types |
|---|---|---|---|---|---|---|---|
| HSBC Hong Kong | HSBCHKHHXXX | Fast negotiation payouts, global recognition | High compliance stringency | 0.5–1% | 1–5 days | $1M | Sight, Usance, Negotiation |
| BNP Paribas HK | BNPAHKHHXXX | Smooth EU–Asia trade flows, strong document review | May request added verification | 0.5–0.8% | 2–6 days | $1M | Negotiation, Transferable |
| Bank of China HK | BKCHHKHHXXX | Ideal for Asia-bound exports | Less suitable for SMEs | 0.5–0.9% | 2–6 days | $1M | Sight, Usance, Negotiation |
| CTBC Bank HK | CTCBHKHHXXX | Responsive negotiation processing | Moderate global reach | 0.5–0.7% | 2–5 days | $1M | Negotiation, Transferable |
| Credit Foncier GmbH | CFEGDE82 | Strong for Eurozone deals, good for EU exporters | Slower on document amendments | 0.5–1% | 2–7 days | $500K | Negotiation, Confirmed, Acceptance |
| Standard Commerce USA | STDMDMDMXXX | Reliable US-based structuring for exporters | Long compliance due diligence | 0.6–1% | 2–6 days | $500K | Negotiation, Confirmed |
| Unibanque UK | UNBQGB22 | Great for UK–Africa trade corridors | Requires well-structured deals | 0.5–0.8% | 2–5 days | $500K | Negotiation, Transferable |
| MauBank (Mauritius) | MPCBMUMU | Efficient document checks, trusted regionally | Limited outside Indian Ocean | 0.5–0.7% | 2–5 days | $250K | Sight, Negotiation, Usance |
(📩 Additional banks available depending on region and transaction size.)
🎯 Why Use a Negotiation LC?
| 🔒 Feature | ✅ Benefit |
| Advance Payment | Early funds post-document approval |
| Flexible Banking | Any nominated bank can negotiate |
| Risk Mitigation | UCP 600 compliance guarantees enforcement |
| Export Leverage | Control over timing of presentation |
| Bank Confirmation Option | Extra safety if required |
🛠️ Our 5-Step Process
Submit your trade documentation
We draft and tailor the LC for negotiation
You approve and pay fees
We issue via MT700 with negotiation terms
You ship & get paid upon document check
🔍 Negotiation LC vs Other Instruments
| Instrument | Trigger | Best Use | Seller Protection |
| Sight LC | Compliant Documents | Fast-turn trades | 🔒🔒🔒🔒🔒 |
| Negotiation LC | Verified Documents | Exporters seeking early payment | 🔒🔒🔒🔒 |
| Usance LC | Time-bound Maturity | Credit-based trade | 🔒🔒🔒 |
| SBLC | Buyer Default | Risk backup | 🔒🔒 |
Why Choose NNRV Trade Partners for Negotiation LC Issuance?
🔒 100% SWIFT-Based Issuance – MT700 delivery, no delays
🌍 Global Negotiating Bank Network – Access to over 30 institutions
📄 Full Document Assistance – Avoid discrepancies and delays
⏳ Fast Payouts – 2–5 day settlements via nominated banks
✅ Tailored Structuring – Negotiation rights adapted to your case
💲 Important Notes on Fees
Fees depend on: • LC complexity and value • Number of parties (confirming/negotiating banks) • Jurisdictional risk and KYC
🔹 For tailored rates, contact our structuring experts.
🧠 Real Testimonials
“We received funds in 72h without waiting for the issuing bank.”
– Fatima B., Coffee Exporter – Ethiopia
“Best LC negotiation support we’ve experienced so far.”
– Igor V., Construction Materials – Balkans
📚 What Makes Us Different?
✔️ Negotiating Banks in 40+ Countries
✔️ Pre-verified Documentation Support
✔️ ICC-UCP600 Expertise
✔️ Early Payment Focus
✔️ SME & Emerging Markets Friendly
📌 From $250K to $50M+ negotiated LC deals
❓ Top 5 FAQ – Answered by Experts
Can I get paid before my buyer pays? Yes. Negotiation LCs allow nominated banks to pay you upon document acceptance.
Is negotiation safe for the seller? Absolutely. UCP 600 protects your rights and funds.
Who chooses the negotiating bank? You can propose one, or use one from our approved list.
What happens if the buyer’s bank rejects documents? Our pre-check service helps eliminate errors before submission.
Can I use negotiation with transferable LCs? Yes. Some LCs are both transferable and negotiable.
🔗 Related Services
• Transferable LC
• Sight LC
• Confirmed LC
• Export Factoring
• LC Pre-Verification
• Trade Financing Packages
📖 Strategic Blog Posts
• How Negotiation LCs Can Boost Your Export Cash Flow
• Best Practices for Document Preparation Under UCP 600
• Sight vs Negotiation vs Usance: Key Differences
🚀 Get Your Negotiation LC Today!
Unlock early payments and secure every trade step. NNRV structures Negotiation LCs built for exporters like you.
📩 Book Your LC Pre-Assessment
☎️ Talk to an Expert | 🌍 Trusted Globally | ✅ 100% SWIFT-Compliant LC