If and when you are looking to send a Swift, you should understand what it is.
A swift is a message system, a swift code defines the Business, the message number defines the purpose of the Swift. These codes are mostly used when transferring money between banks, especially for international wire transfers or telegraphic transfer (“TT”). The codes are also used in exchanging messages between banks.
We are capable of transmitting such Bank Messages and utilizing instruments for cash transfers, proof of funds, Safe Keeping Receipts (www.safekeepingreceipts.com), Securities in Deposit, Letters of Guarantee, Letters of Credit, and various other message type (“MT”) such as MT 760, MT 799, for documentary credits and guarantees. In addition, upon the completion of contracts, such as Commodities Trades, we will direct the customer payments through MT 1XX messages.
Contact email@example.com to learn more about our Bank Messaging Services.
What are SWIFT messages?
Simply stated it is the communication and messaging as well as transferring system used by Modern Banks and Financial Institutions. SWIFT messages, developed by SWIFT Standards Laboratories Private Limited, consist of five blocks of data including three headers, message content, and a trailer. Message types are crucial to identifying content. All SWIFT messages include the literal “MT” (Message Type). This is followed by a 3-digit number that denotes the message category, group and type.
The first digit (3) represents the category. A category denotes messages that relate to particular financial instruments or services.
Overview of SWIFT MT Categories:
Message Type – Description
- MT0xx System Messages
- MT1xx Customer Payments and Cheques
- MT2xx Financial Institution Transfers
- MT3xx Treasury Markets
- MT4xx Collection and Cash Letters
- MT5xx Securities Markets
- MT6xx Treasury Markets – Metals and Syndications
- MT7xx Documentary Credits and Guarantees
- MT8xx Travellers Cheques
- MT9xx Cash Management and Customer Status
What is a MT-760?
The MT-760 is a kind of SWIFT message known as a Guarantee that, as its name suggests, works as a bank guarantee. Therefore, it is important that a user be warned about its danger before he might be trapped by malicious individuals.
The investor’s Bank issues a SWIFT MT-760 using an asset as base (CASH, Bank Guarantee BG, Cash Deposit CD, Medium Term Note, MTN, Document Loan of Credit, DLC, Letters of Credit, LCs, etc). This asset is issued in favour of the recipient (the recipient of the MT-760). This kind of message is commonly used in the Commodities sector or in businesses such as the import or export of any product. The issuing bank uses the asset as a guarantee in favour of the client receiving the MT-760. It is also important to note that this is the classic locking option when it comes to participating in a Private Placement Program.
SWIFT MT-760 emission operative
Prior to the emission of a SWIFT MT-760, the Issuing Bank will emit a SWIFT MT-799 (Free Message). The MT-799 is issued as a Pre-Advice (notifying the receiving bank that a guarantee in the form of MT- 760 will be issued). A SWIFT MT-799 is sent to the Issuing Bank confirming that they should be ready to receive the MT-760. In the next 24/48 hours, the client’s bank proceeds to the issuance of the SWIFT MT-760, with the acceptance of the receiving bank. Thus, the asset is locked in favour of the recipient for the time specified in the text of the SWIFT message.
If you are looking for a Swift MT 760 /799 contact us today at firstname.lastname@example.org