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Document Hold at Beneficiary Bank

Your supplier’s bank is holding the funds and asking for an invoice.

This usually means the payment has reached the receiving side but cannot be released until the bank sees the right trade document. The funds are usually not missing.The release conditions have not been satisfied yet.

When this happens, the receiving bank is usually applying a trade or compliance requirement before crediting the supplier. Sending the payment again is usually the wrong move. What matters now is identifying the exact document they want, getting it into the chain correctly, and knowing whether the funds are waiting at the beneficiary bank or still sitting with an intermediary.

01

What is actually happening

The payment has usually been sent correctly, but the receiving bank will not release it until it can match the funds to a commercial purpose. In practice that often means a commercial invoice, supporting trade document, or a short written clarification from the sender.

02

What the bank normally wants

The bank is usually looking for one of a small number of things: the invoice, a purpose-of-payment explanation, confirmation of the supplier relationship, or a short sender declaration that explains what the funds are for. The exact wording matters. A vague email often does not.

03

What to do next

Ask your bank or provider to confirm whether the funds are at the beneficiary bank, what exact document has been requested, and whether the request came from the beneficiary bank or an intermediary.Then send the requested document through the same payment chain — not separately to the supplier unless instructed.

04

When this becomes an escalation

If the document has been supplied and the funds still do not move, the issue stops being a simple document hold and becomes a trace or investigation case.At that point you need payment proof, a reference trail, and a person who will take ownership of the escalation.

If the bank is asking for a document today, speed matters less than accuracy. One wrong explanation can create a second hold.
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Unicorn Currencies Limited is registered with FINTRAC as a Money Services Business and registered with the Bank of Canada as a Payment Service Provider under the Retail Payment Activities Act. UK services are provided by Unicorn Currencies Ltd as a corporate intermediary through authorised partners where regulated payment or e-money services are required. Legal and regulatory information.