Letter of Credit Document Handling and Negotiation Fees Explained
What document handling, examination and negotiation fees are under a Letter of Credit and when they apply.
Reviewed by LCCheck team (owner-approved) · 2026-10-12
Short answer
When an exporter presents documents, the receiving bank usually charges for checking and handling them, and for negotiation or payment. These are separate from advising, confirmation and discrepancy fees. Field 71D says which charges are for the beneficiary; the amounts come from each bank's tariff.
| Typical fees | Examination, handling, negotiation/payment, courier |
|---|---|
| Allocation | Field 71D |
| Amounts | Per bank tariff |
What each covers
- Examination: checking documents against the credit.
- Handling: forwarding documents to the issuing bank.
- Negotiation or payment: advancing or paying funds.
- Courier: sending documents abroad.
Reduce them
- Compare bank tariffs.
- Agree charge allocation in the sales contract.
- Avoid extra fees by presenting compliant documents.
Sources
General guidance, not legal advice. Your bank examines documents independently.
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