Documentary credits are separate transactions from the contract of sales with which thev a

re re1ated．In documentary credits【S1】ave concerned only with documents．and their decision whether or not to pay，accept or negotiate under a credit depends solely off whether the documents presented conform. to the terms and conditions in the 【S2】．When the beneficiary submits documents that contain discrepancies or errors，the banks will reject the documents and retum them to the 【S3】 for resubmission after corrections．Seen from a different perspective，even if the importer becomes bankrupt after the shipment，the beneficiary is entitled to payment by the issuing bank as long as he is able to present the correct【S4】stipulated in the credit．That banks deal only with documents and not performance of the【S5】is key to the operation of documentary credits．

【S1】

A．sellers

B．buyers

C．banks

D．carders