This topic provides the systematic instruction to authorize a LC contract.

1. On the homepage, type LCDTRAUT text box, and click the next arrow.
   The Letters of Credit Authorize Contract screen is displayed.
2. On the Letters of Credit Authorize Contract screen, specify the fields, and click Authorize.
   You have authorised a contract.

   Figure 4-45 Letters of Credit Authorize Contract

   
   

   
   Description of "Figure 4-45 Letters of Credit Authorize Contract"

   
   

   By default, the system displays all the fields based on the contract reference you select. You can specify remarks or instruction in the Remarks field. On the Letters of Credit Product Preferences screen, if you have set the preference for Rekey Requirements as Yes then you need to provide Rekey Fields details. For more details on this screen refer the topic Remarks in this user manual.

   You cannot authorise a contract in the following cases:

   • The contract has multilevel of authorization pending, the same will be done using the Multilevel Authorization Detailed screen
   • The level of authorization is greater than or equal to ‘N’
   • The ‘Nth’ or the final level of the users authorisation limit is less than the difference between amount financed and sum of the limits of all the users involved in authorizing a transaction, this case holds good when the ‘Cumulative’ field is checked in the Product Transaction Limits Maintenance screen
   • The transaction amount is greater than the authoriser’s authorisation limit if the Cumulative field is unchecked in the Product Transaction Limits Maintenance screen.
3. On the Letters of Credit Authorize Contract screen, click Change Log tab.
   The Change Log screen is displayed.

   In Change Log Details, if there are any values changed in the contract, then the following details are displayed here:

   • Field Description
   • Old Value
   • New Value

   Figure 4-46 Change Log

   
   

   
   Description of "Figure 4-46 Change Log"

   
   
4. While processing hand-off requests from external system, Release Amount Block - Close amount block is initiated by OBTF if the release amount block parameter is enabled in Trade Finance Bank Preference.