Amendment

An addition, deletion or change in a legal document.

A change in the terms and conditions of a letter of credit (e.g., extension of the letter of credit’s validity period, shipping deadline, etc.), usually to meet the needs of the seller. The seller requests an amendment of the buyer who, if he agrees, instructs his bank (the advising bank) who then notifies the seller of the change. In the case of irrevocable letters of credit, amendments may only be made with the agreement of all the parties to the transaction.