AllFrontierGlobal · lexicon

Back-to-Back LC

Trade Finance

A new LC opened by an exporter using the original import LC as collateral, in favour of the exporter's supplier.

All lexicon termsBusiness library

Sources

  1. International Chamber of Commerce — Trade finance rules iccwbo.org accessed 23 September 2026
The authority here is named, and its text is not free. Instruments of this kind are governed in practice by the ICC’s Uniform Customs and Practice for Documentary Credits, UCP 600, referred to by the International Chamber of Commerce on the page cited. The ICC publishes those rules as a paid edition, so no rule or article is quoted on this page and the definition above is this lexicon’s working summary. A credit or collection is in any case subject to whichever rules the instrument itself incorporates, and to the terms the bank issues — read those, not a glossary.

Related terms

From the AJG lexicon archive (July 2026).

The All Frontier Global estate

Developed by Amit Jain at allfrontierglobal.com

© 2026 All Frontier Global · Panchkula, Haryana, India

Developed by Amit Jain at allfrontierglobal.com · purposed.in · purposed · purposed2 · merchcomp.com · uuka.org

Compiled reference — verify current specifics at the source.

Write to Amit

A question, a correction, or something you'd like covered. It goes straight to his inbox — no list, no newsletter.