When payments are made locally and overseas, charges are imposed by various banks, such as the remitting bank, the beneficiary bank, the intermediary bank, etc. These charges can be paid or settled in one of the following ways:
1. BEN: Charges are borne by the beneficiary.
The beneficiary bears all charges of the banks engaged in the transfer of the payment. You only pay the remittance amount. All charges (Standard Chartered's as well those of the intermediary bank, beneficiary bank, etc.) will be deducted from the remittance amount and the beneficiary will receive the remaining balance.
2. SHA: Charges are shared.
You pay Standard Chartered's charges and the remittance amount. Your beneficiary bears the charges of all the other banks (the intermediary bank, beneficiary bank, etc.). The beneficiary will receive the remaining balance.
This is the most common type of charge, where each party bears their respective charges.
3. OUR: Charges are borne by the remitter.
You bear all charges of the payment, which includes the remittance amount, Standard Chartered's charges, as well as all the other banks' fees (intermediary bank, beneficiary bank, etc.), so the beneficiary receives the complete payment. Standard Chartered Bank (Singapore) Limited will debit your account for payment of the charges after the exact amount has been identified.
In the case where Standard Chartered Bank (Singapore) Limited has an OUR arrangement with our correspondent bank, we will debit the agent charges upfront. However, Standard Chartered Bank (Singapore) Limited will not be held liable if our correspondent or the beneficiary's bank does not follow the instructions or if full payment fails to reach the beneficiary's account for any other reason.