Get Paid on Every International Shipment

A letter of credit is only as good as the documents that support it. Under UCP 600, banks are required to refuse payment on any document set that contains even a minor discrepancy from the LC terms — a misspelled port name, a mismatched quantity, a missing endorsement. Studies by the International Chamber of Commerce consistently show that over 70% of first-presentation LC documents contain discrepancies that delay or block payment.

MyExpressFreight's trade finance team works alongside your logistics operation to prepare every required document with the precision that banks demand. We review the LC terms before your shipment loads, prepare documents that match those terms exactly, and deliver a complete, bank-ready document package on time — every time.

  • LC term review before shipment — catch problems before they become discrepancies
  • Commercial invoice prepared to match LC wording exactly
  • Full set of original ocean bills of lading with correct endorsements
  • Packing list prepared per LC specifications
  • Marine cargo insurance certificate issued same-day
  • Certificate of origin — standard, preferential, and legalized
  • Shipper's letter of instruction (SLI) and AES filing
  • Documentary collection (D/P and D/A) coordination
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Why LC Discrepancies Happen — and How We Prevent Them

The most common letter of credit discrepancies are entirely preventable with the right process. Our team has seen every type of discrepancy and builds our document preparation workflow specifically to eliminate them.

  • Invoice description mismatch: Commercial invoice description doesn't match LC wording verbatim. We extract and match exact LC language on every invoice.
  • Late shipment or presentation: Cargo shipped after LC expiry or documents presented after the presentation deadline. We track all LC dates against your sailing schedule.
  • Short shipment: Quantity or value on documents falls outside LC tolerances. We confirm cargo details against LC tolerances before loading.
  • Port name errors: Bill of lading shows a port abbreviation the bank doesn't recognize. We ensure port names match the LC exactly.
  • Missing insurance clauses: Insurance certificate omits required coverage terms or minimum value. We issue certificates with all LC-specified clauses included.
  • Incorrect B/L endorsement: Bill of lading not endorsed to the correct party or in the correct order. Our B/L team handles all endorsement requirements per LC instructions.

Trade Finance Document Services

Every document your bank, buyer, or customs authority requires — prepared accurately, on time, and fully compliant with your LC terms and international trade regulations.

Commercial Invoice

Prepared to match LC terms exactly — correct description of goods, unit prices, total value, currency, Incoterms, buyer and seller details, and any LC-specified statements. The most-discrepant document in LC transactions, handled with precision.

Ocean Bill of Lading

Full set of original negotiable bills of lading issued to the order of the issuing bank or as specified in the LC. Correct consignee, notify party, port of loading/discharge, freight terms, and endorsements applied per LC requirements.

Packing List

Detailed packing list showing individual carton contents, gross and net weights, dimensions, marks and numbers, and total quantities — formatted to match LC requirements and consistent with the commercial invoice line by line.

Certificate of Origin

Standard chamber of commerce certificates, USMCA/FTA preferential origin certificates, and country-specific origin documents. Notarization, chamber certification, and consular legalization arranged where the LC or destination country requires it.

Marine Insurance Certificate

Cargo insurance certificates issued same-day to the minimum value and with all coverage clauses specified in the LC — including ICC A/B/C clauses, war and strikes coverage, and special commodity endorsements. Endorsed as required.

Shipper's Letter of Instruction

Complete SLI preparation authorizing export documentation, AES/EEI filing, and freight forwarding on behalf of the exporter. Ensures consistent information flows to every document in the set — eliminating data-entry discrepancies at the source.

Documentary Collections (D/P & D/A)

Full coordination of Documents against Payment (D/P) and Documents against Acceptance (D/A) collections through the banking system. Document preparation, bank instruction letters, and follow-up through to document release and payment.

Inspection & Specialty Certificates

Coordination of third-party inspection certificates, phytosanitary certificates, health certificates, fumigation certificates, weight and analysis certificates, and any other specialty documents called for in the LC or destination country regulations.

How the LC Document Process Works

Our trade finance team is involved from the moment you receive your LC — not just at document preparation time. Early involvement is the single most effective way to prevent discrepancies.

  • Step 1 — LC Review: Send us your LC as soon as it's issued. We review all terms — document requirements, expiry dates, shipment deadlines, port restrictions, and special conditions — and flag anything that creates risk.
  • Step 2 — Pre-Shipment Check: Before your cargo loads, we confirm the shipment details against the LC: quantity tolerances, partial shipment permissions, latest ship date, and port of loading/discharge.
  • Step 3 — Document Preparation: Once the vessel sails, we prepare the complete document set — commercial invoice, B/L, packing list, insurance certificate, certificate of origin, and all specialty certificates — matching every detail to the LC terms.
  • Step 4 — Internal Review: A second team member reviews every document against the LC before presentation — our internal discrepancy check catches errors before the bank does.
  • Step 5 — Bank Presentation: Documents are courier-dispatched or electronically presented to the nominated bank within the LC presentation period. We track acknowledgment and follow up on any bank queries immediately.
  • Step 6 — Payment Follow-Up: We monitor payment status and communicate with you and your bank through to final settlement — so you always know where your money is.

International Payment Terms We Support

Beyond letters of credit, MyExpressFreight provides trade finance document support for every major international payment method.

  • Documentary Letter of Credit (DC/LC): Irrevocable, confirmed, transferable, and back-to-back LCs under UCP 600. Full document preparation and presentation.
  • Standby Letter of Credit (SBLC): Document support for standby LCs used as performance guarantees or payment security instruments in international contracts.
  • Documents against Payment (D/P): Export document preparation and bank collection coordination for sight payment documentary collections.
  • Documents against Acceptance (D/A): Time draft documentary collections where the buyer accepts a bill of exchange in exchange for shipping documents.
  • Open Account: Full trade document preparation — invoice, packing list, B/L, certificate of origin — for open account shipments where no bank collection is involved but accurate documentation is still required for customs and delivery.
  • Advance Payment: Export documentation for prepaid transactions ensuring compliance with US export regulations and destination country import requirements.
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Letters of Credit & Trade Finance FAQs

Answers to the most common questions about letters of credit, trade finance documents, LC discrepancies, and international payment terms.

What is a letter of credit in international trade?

A letter of credit (LC) is a financial instrument issued by the buyer's bank guaranteeing payment to the seller once a compliant set of documents is presented within the LC's validity period. It is the most secure payment method in international trade because the bank — not the buyer — is responsible for payment, as long as the documents strictly comply with the LC terms under UCP 600. LCs are commonly used for large transactions, new trade relationships, or when trading with buyers in higher-risk markets.

What documents are typically required under a letter of credit?

Most LCs require: a signed commercial invoice, a full set of clean on-board ocean bills of lading (or airway bill for air shipments), a detailed packing list, a marine cargo insurance certificate for at least 110% of the invoice value, and a certificate of origin. Many LCs also require inspection certificates, phytosanitary certificates, beneficiary certificates, or weight certificates. The exact requirements are specified in the LC issued by the buyer's bank.

What causes LC discrepancies and how can they be avoided?

LC discrepancies occur when the presented documents don't strictly match the LC terms — even minor differences trigger a refusal under UCP 600. The most common causes are: invoice description wording that doesn't match the LC exactly, shipment after the latest ship date, presentation after the presentation deadline, port names that don't match, missing insurance clauses, and incorrect bill of lading endorsements. Discrepancies are avoided by reviewing the LC before shipment, preparing documents to mirror LC language precisely, and having an expert review the document set before bank presentation — exactly what MyExpressFreight does.

What is a certificate of origin and do I always need one?

A certificate of origin certifies the country where the exported goods were manufactured or substantially transformed. It is required when the LC specifically calls for it, when the destination country's customs authority requires it for duty assessment, and when the shipment qualifies for a Free Trade Agreement preferential duty rate. Some countries (particularly in the Middle East and Latin America) also require the certificate to be notarized and legalized by a chamber of commerce and/or the destination country's consulate.

What is the difference between a D/P and D/A documentary collection?

Both D/P and D/A are documentary collection methods where shipping documents are routed through the banking system. In a Documents against Payment (D/P) collection, the buyer must pay the bank before receiving the documents needed to collect the goods. In a Documents against Acceptance (D/A) collection, the buyer receives documents after signing a time draft (accepting future payment), creating a trade credit arrangement. D/P offers more seller protection than D/A, but neither provides the full bank payment guarantee of a letter of credit.

What is UCP 600 and why does it matter?

UCP 600 is the Uniform Customs and Practice for Documentary Credits — the internationally recognized rulebook published by the International Chamber of Commerce that governs letters of credit worldwide. Nearly all LCs issued today incorporate UCP 600. Under its rules, banks must examine documents strictly and refuse payment on any discrepant presentation, regardless of how minor the error. Understanding and applying UCP 600 is essential for preparing documents that will be accepted by banks on first presentation.

What is a shipper's letter of instruction (SLI) and why is it important?

A shipper's letter of instruction authorizes your freight forwarder to prepare export documents and file your Electronic Export Information (EEI) through the Automated Export System (AES) on your behalf. It is the master instruction document for your export shipment — capturing all the details that feed into every other document. A complete, accurate SLI ensures that your commercial invoice, packing list, bill of lading, and export filing are all consistent with each other and with your LC terms, eliminating the data-entry inconsistencies that cause preventable discrepancies.

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Get Your LC Documents Right the First Time

Send us your letter of credit and we'll review it before your cargo ships — identifying any terms that create discrepancy risk before it's too late to fix them.

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