Category 7: Documentary credits, guarantees and standby letters of credit
MT754 Advice of Payment/Acceptance/Negotiation
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The MT754 tells the issuing bank that documents presented under a documentary credit complied and have been paid, accepted or negotiated, and that they are on their way. The paying, accepting or negotiating bank sends it, and it can also ask for settlement or give advance notice of a reimbursement claim or a debit.
- Message type
- MT754
- Category
- 7
- Status
- In the current standard
- ISO 20022
- No direct equivalent
What MT754 is used for
After examining the documents and finding them compliant, the nominated bank honours or negotiates and sends an MT754 to the issuing bank with the amount in field 32a, any additional amounts and charges, and the total in field 34a. The documents follow by courier, or electronically under eUCP.
The MT754 is used in three ways: as a request for settlement, with 57a or 58a saying where to pay; as advance notice that the bank is claiming from the reimbursing bank named in 53a; and as a pre-debit notification, with option 34A carrying the future debit date. A pre-debit notice from a reimbursing bank goes in an MT799 instead. When documents are discrepant, the bank uses the MT750 rather than the MT754.
- Sent by
- The paying, accepting or negotiating bank
- Sent to
- The issuing bank (or the bank nominated to pay or accept)
MT754 format: sequences and fields
Message text (block 4)Mandatory
No sequences. Network rules: 72Z or 77, not both; 53a or 57a, not both; 32a and 34a in the same currency.
| Tag | Name | Status | Format | Meaning |
|---|---|---|---|---|
| 20 | Sender's Reference | M | 16x | The sending bank’s reference. |
| 21 | Related Reference | M | 16x | The issuing bank’s credit number when sent to the issuing bank; otherwise the credit number or a reference the receiver knows. |
| 32a | Principal Amount Paid/Accepted/NegotiatedOptions A or B | M | A: 6!n3!a15d B: 3!a15d | The amount paid, accepted or negotiated, which reduces the balance of the credit. Option A adds a date. |
| 33B | Additional Amounts | O | 3!a15d | Extra amounts allowed by the credit, such as insurance. |
| 71D | Charges Deducted | O | 6*35z | Charges deducted from the amount paid. |
| 73A | Charges Added | O | 6*35z | Charges added to the amount paid, usually coded lines such as /NEGCOM/ followed by currency and amount. |
| 34a | Total Amount ClaimedOptions A or B | O | A: 6!n3!a15d B: 3!a15d | The total claimed or to be paid. For a pre-debit notification option A is used with the future debit date. |
| 53a | Reimbursing BankOptions A, B or D | C | A: [/1!a][/34x] 4!a2!a2!c[3!c] B: [/1!a][/34x] [35x] D: [/1!a][/34x] 4*35x | The bank from which the sender has claimed reimbursement under the credit. Not allowed with 57a. |
| 57a | Account With BankOptions A, B or D | C | A: [/1!a][/34x] 4!a2!a2!c[3!c] B: [/1!a][/34x] [35x] D: [/1!a][/34x] 4*35x | The bank where the issuing bank should pay the total in favour of the sender. Not allowed with 53a. |
| 58a | Beneficiary BankOptions A or D | O | A: [/1!a][/34x] 4!a2!a2!c[3!c] D: [/1!a][/34x] 4*35x | The sender’s branch or affiliate to be credited, or the specific account to use. |
| 72Z | Sender to Receiver Information | C | 6*35z | Further information for the receiver or the account with bank. Not allowed with 77. |
| 77 | Narrative | C | 20*35z | Longer additional information, used instead of 72Z when 72Z is too short. |
Format notation: n digits, a upper-case letters, c upper-case letters and digits, x any character of the Swift character set, d a decimal number with a comma, ! fixed length, [ ] optional, 4*35x up to 4 lines of 35 characters. M mandatory, O optional, C conditional (a rule decides).
ISO 20022
No ISO 20022 equivalent in general use for the advice. Any settlement it triggers between banks is a bank-to-bank transfer, which is ISO 20022 on Swift since November 2025.
MT754 questions
- What is the difference between MT754 and MT756?
- The MT754 goes from the nominated bank to the issuing bank to say documents complied and were paid or negotiated. The MT756 goes from the issuing bank to the presenting bank to advise that it has reimbursed or paid.
- Does the MT754 move money?
- No. It advises and can request settlement, but the funds move in a separate payment between the banks, today a pacs.009 on Swift.
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