5 Most Common LC Discrepancies and How to Avoid Them

Practical guide to the most common LC discrepancies: what triggers them, what to check before presentation, and how to reduce rejections with a pre-check workflow.

By Tijara Editorial TeamReviewed by Tijara Trade Operations TeamPublished: May 11, 2026Updated: May 11, 20262 min read

Quick answer

Most LC “rejections” are not about the goods — they’re about document mismatch or late presentation. If you run a pre-check workflow, you can prevent most discrepancies before the bank exam.

If you want the full LC overview first: /resources/what-is-letter-of-credit

The 5 most common LC discrepancies (and what to check)

1) Party name/address mismatch

What triggers it:

  • Applicant/beneficiary/consignee names differ across LC text, invoice, BL/AWB, certificate of origin.

Prevent it:

  • Lock party master data once and generate every document from that source.

2) Description / quantity / unit mismatch

What triggers it:

  • Invoice says “100 cartons”, packing list says “98 cartons”.
  • LC asks for a description format you don’t use in the real invoice template.

Prevent it:

  • Standardize SKU descriptions and units of measure; avoid manual edits inside PDFs.

3) Transport document clause mismatch (BL/AWB)

What triggers it:

  • LC requires on-board notations, named ports, transshipment restrictions, or consignee wording that the carrier/forwarder won’t issue.

Prevent it:

  • Validate the BL/AWB clause against your forwarder’s actual document format before issuance.

Related: /glossary/bill-of-lading

4) Date and deadline failures

What triggers it:

  • Shipment date after “latest shipment date”.
  • Presentation after the presentation period or after expiry.

Prevent it:

  • Track latest shipment date + expiry + presentation deadline from day one.

Related: /resources/track-letter-of-credit-expiry

5) Missing or wrong certificate (COO / inspection / insurance)

What triggers it:

  • Wrong issuer, wrong wording, or missing certificate the LC demands.

Prevent it:

  • Keep a checklist per corridor/product and only accept certificate requirements you can actually produce.

Pre-check workflow (the fastest way to reduce discrepancies)

Run this before presentation:

  1. Compare the LC text to your real document templates.
  2. Verify party names/addresses match the LC exactly.
  3. Reconcile invoice vs packing list quantities/weights/units.
  4. Check BL/AWB clause feasibility with the forwarder.
  5. Confirm all deadlines are still achievable.

What to do when a discrepancy happens

Discrepancies don’t always mean “no payment”, but they do mean risk and delay. Your options usually are:

  • fix documents (if possible),
  • request an amendment, or
  • request a waiver from the applicant/buyer (bank process varies).

Next: /resources/lc-discrepancies-amendments

How Tijara helps

Tijara keeps the LC, documents, and deadlines connected to the same deal timeline, so your team can pre-check before banks do.

FAQs

Sources

  1. [1] ICC: Uniform Customs and Practice for Documentary Credits (UCP 600)
    International Chamber of CommerceAccessed: 2026-05-11

Related resources

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