1. Cancelling Import Doc LCs and Standby LCs

Import Doc LCs and Standby LCs are cancelled by the system automatically, either at their expiry date or at a pre-set number of days after expiry (the number of days is chosen by your system administrator).

If you are aware that the LC has been cancelled earlier for some reason, you can record this in the system.  Go to the transaction, and at the top you can Update Status to Cancel LC.  This does not send a message to your bank.

2. Cancelling Guarantees

Guarantees have to be manually cancelled in the system.  Usually the bank will do this when they are satisfied their liability is ended.  The corporate also has the right to mark the guarantee as cancelled in the system.  Cancelling a guarantee stops any fee accrual and releases any limit but it does not send any messages to your bank.