SWIFT MESSAGE MODIFICATIONS (MT76X)
BANK GUARANTEES
The major change to SWIFT's Category 7 standards ends with the update of the 2021 standards, where the bank guarantee messages (MT 760 ) are updated.
While the 2018 standards upgrade was focused on Documentary Credits, the 2021 ones will be focused on its guarantees.
These changes will become operational on 21 November 2021.
✏️ MODIFICATIONS TO MT700 - MT 759 MESSAGES.
The main changes will focus on fields 40B (Form of Documentary Credit) and 40E (Applicable Rules), where it is no longer permitted to issue a standby letter of credit with an MT 700 message
🖥 40B FORM OF DOCUMENTARY CREDIT
🖥 40E APPLICABLE RULES
✏️ MODIFICATIONS TO MT 760 - MT 799 MESSAGES.
MT 760, MT 767 have significantly improved, extending the number of fields.
✅ Previously had few structured fields and one large free-format field
✅ New versions are highly detailed and structured
✅ Sequences introduced to cater for undertaking details as well as local undertaking details.
In applicable rules, they are included the UCP 600. I think that the main reason is because those rules incorporate the Stand By letters of credit in their Article 1.
“The Uniform Customs and Practice for Documentary Credits, 2007 Revision, ICC Publication no. 600 ("UCP") are rules that apply to any documentary credit ("credit") (including, to the extent to which they may be applicable, any standby letter of credit) when the text of the credit expressly indicates that it is subject to these rules. They are binding on all parties thereto unless expressly modified or excluded by the credit”. (Art. 1, UCP 600)
✏️ MODIFICATIONS TO MT768 AND MT 799 MESSAGES.
✅Field 71B changed to 71D with z-character set
✅Field 72 changed to 72Z with z-character set
✅Possibility to identify the delivery channel
✏️ MESSAGES 761, 765,775,785, 786 Y 787 (6 NEW MESSAGES)
✅MT 761 - Continuation of MT 760
✅MT 765 - Used to demand payment under an undertaking
✅MT 775 - Continuation of MT 767
✅MT 785 - Used to notify the beneficiary of the non-extension of the referenced undertaking
✅MT 786 - Used to notify the beneficiary that the demand has been refused
✅MT 787 - Used to indicate acceptance or rejection by the beneficiary of the amendment
✏️ NO MODIFICATIONS TO MT 79X MESSAGES
✅ The common group message types MT 790-MT799, remain unchanged