Common Mistakes to Avoid During AD Code Registration

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AD Code Registration is essential for import or export businesses in India. AD Code links your Import Export Code (IEC) with your bank account. Thus, it enables smooth transactions at customs. However, the process is not simple and you may end up making mistakes that will cost you your time and money. Let’s save your money and time through understanding the common mistakes to avoid during AD Code Registration.

 

1. Incorrect Bank Details

A frequent mistake that businesses make is providing inaccurate bank details such as account numbers or IFSC codes. This mistake can result in a serious delay in the AD Code Registration process.

Solution: Always double-check all bank details before submitting your AD Code application to avoid rejections.

2. Failure to Update Business Information

When businesses change their registered address or bank, they often forget to update these details with the DGFT.

Solution: The solution to this issue is to always update any changes in your business information with the DGFT website. If you find this process to be time-consuming or confusing, you can get assistance from E-StartupIndia’s experts. 

3. Incomplete Documentation

Most of the delays that are caused in the AD Code Registration application process are because people miss adding all the required documents for the application. One of the most important documents for AD Code Registration is IEC Code Registration.

Solution: Attach all the documents in the proper format to your application and make sure to keep them as per the size and format they request.

Learn More: Know About AD Code Registration for Expoerters

4. Forgetting to Register AD Code with Customs

The AD Code Registration process doesn’t end with the bank. You also have to update it with customs.

Solution: After receiving the AD Code Registration Certification, you should get it updated with customs right away. 

5. Incorrect AD Code on Shipping Bills

Failing to mention the correct AD Code on the shipping bill is a common mistake resulting in shipment delays.

Solution: Thus, you must double-check that the correct AD Code number is mentioned on all shipping documents before submitting it on shipping bills. 

6. Using a Non-Authorized Bank

AD Code Registration with a bank that is not authorised to handle foreign exchange transactions can lead to complications or even rejection in application.

Solution: You must verify that your bank is an authorised dealer for foreign exchange before your register for AD Code. 

7. Ignoring Local Port Requirements

Different ports have specific requirements for AD Code documentation. If you do not meet these requirements, it can cause delays in shipment clearance.

Solution: You must contact the port authorities ahead of time to understand their specific documentation needs and ensure compliance in advance. 

Importance of AD code for Import & Export

Take a call from Expert

Moreover, If you want any other guidance relating to registering Authorised Dealer Code(AD Code) or Import Export Certificate , please feel free to talk to our business advisors at 8881-069-069.

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