MT754 — Advice of Payment / Acceptance / Negotiation
The credit-execution advice. The negotiating bank tells the issuing bank that it has paid, accepted or negotiated documents — and announces the dispatch of originals and the reimbursement claim.
Purpose
MT754 is the official advice to the issuing bank that documents were examined and complied, and that the negotiating bank has:
- Paid — for sight credits, immediate payment to the beneficiary.
- Accepted — for acceptance credits, signing of a draft maturing in the future.
- Negotiated — for negotiable credits, discounting the draft or documents in favour of the beneficiary before maturity.
The message also announces dispatch of original documents (typically by express courier — FedEx, DHL) and refers to the MT742 sent in parallel to the reimbursing bank to recover funds.
Tag structure
:20:Advice reference on the negotiating-bank side.:21:Originating MT700 reference.:32A:Value date + amount paid/accepted/negotiated.:33B:Principal Amount.:34B:Total Amount including charges.:53A:Reimbursement Bank — reimbursing bank (typical USD correspondent).:71B:Charges.:72:Sender to Receiver Information — execution mode (payment, acceptance, negotiation) and beneficiary.:77A:Narrative — instructions for document dispatch.
Key tags
| Tag | Name | Usage |
|---|---|---|
:32A: | Value Date, Currency, Amount | Value date of the payment. |
:53A: | Reimbursement Bank | BIC of the reimbursing bank used. |
:72: | Sender-Receiver Info | Execution mode + beneficiary + matching MT742 reference. |
:77A: | Narrative | Document dispatch modalities (courier, tracking). |
Real-world example
After conforming document examination and payment to Guangzhou Textile Exports on 20 July 2026, ICBC Beijing notifies BNP Paribas of the negotiation and dispatch of originals:
{1:F01ICBKCNBJAXXX0000000000}{2:I754BNPAFRPPAXXXN}{3:{108:NEG20260720001}}{4:
:20:NEG20260720001
:21:LC20260515001
:32A:260720USD150000,00
:33B:USD150000,00
:34B:USD150000,00
:53A:CHASUS33XXX
:71B:NIL
:72:/REC/NEGOTIATED ON 20 JUL 2026 IN FAVOUR OF
//GUANGZHOU TEXTILE EXPORTS CO LTD
//AGAINST FULL SET OF COMPLYING DOCUMENTS
//REIMBURSED VIA CHASE NEW YORK
//PER OUR MT742 OF EVEN DATE
:77A:DOCUMENTS FORWARDED TO YOU UNDER SEPARATE
EXPRESS COURIER COVER FEDEX TRACKING 123456789
-}:20:NEG20260720001— ICBC advice reference.:21:LC20260515001— originating MT700 reference.:32A:260720USD150000,00— payment value 20 July, USD 150,000.:53A:CHASUS33XXX— Chase NY as reimbursing bank.:72:— narrative stating NEGOTIATED ON 20 JUL 2026, beneficiary and MT742 reference.:77A:— FedEx tracking 123456789.
Common pitfalls
- Ambiguous execution mode —
:72:must say PAID, ACCEPTED or NEGOTIATED explicitly. Without it, the issuing bank cannot tell whether a draft was accepted. - Missing reimbursement bank —
:53A:must point to the bank to be debited. Its absence forces the issuing bank to pay directly via MT202, complicating cash management. - No document tracking —
:77A:must give a tracking number. Without it, the issuing bank cannot verify the contractual document arrival deadline (typically 5-7 days). - Payment under reserve not noted — if payment followed a MT752 authorisation after a MT750, state it explicitly in
:72:for traceability. - Value date earlier than payment —
:32A:is the debit date on the reimbursing bank, not the actual beneficiary payment date. Distinguish.
Related messages
- MT700 — Issue of a Documentary Credit (the executed credit).
- MT742 — Reimbursement Claim (sent in parallel to the reimbursing bank).
- MT750 — Advice of Discrepancy (if discrepancies suspected before payment).
- MT752 — Authorisation to Pay (positive issuing-bank reply to a MT750).
- MT202 — General Financial Institution Transfer, actual payment after reimbursement.