GLOSSARY
UCP 600
ICC's Uniform Customs and Practice for Documentary Credits, version 600. The international rulebook that governs how letters of credit are issued, presented, examined, and paid.
UCP 600 is the International Chamber of Commerce's Uniform Customs and Practice for Documentary Credits, in force since 1 July 2007. Banks and traders incorporate UCP 600 by reference into virtually every commercial letter of credit issued worldwide.
Why it matters
UCP 600 defines what counts as a compliant document presentation, the bank's examination period (5 banking days), what constitutes a discrepancy, and how dispute resolution works. The complementary International Standard Banking Practice (ISBP 745) interprets UCP 600 in operator detail. Together they're why an LC can be enforced even when buyer and seller never meet.
Related terms
- Letter of Credit
- ISBP 745
- Documentary Collection
- Confirmation
- Discrepancy