Difficulties Facing Jordanian Banks Related to Issued Letters of Credit

The purpose of this study is to investigate the difficulties faced by Jordanian banks with respect to issued letters of credit. To achieve the objectives of this study, a questionnaire was designed and distributedto 15 Jordanian banks, and a total of three questionnaires were solicited from each bank. The study found that Jordanian banks generally face fewdifficulties with respect to issued letters of credit. The main difficulties are : The client’s lack of knowledge about rules and international norms for letters of credit, the inability of the client to fill in the letters of credit form, a mismatch between the documents and terms of the letters of credit, and the client’s lack of English language skills.

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