{"id":33305,"date":"2025-10-22T17:22:41","date_gmt":"2025-10-22T11:52:41","guid":{"rendered":"https:\/\/www.legalraasta.com\/blog\/?p=33305"},"modified":"2026-04-03T17:11:06","modified_gmt":"2026-04-03T11:41:06","slug":"difference-ad-code-and-export-payment-code","status":"publish","type":"post","link":"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/","title":{"rendered":"Difference Between AD Code and Export Payment Code Explained"},"content":{"rendered":"<p style=\"text-align: justify\"><span style=\"font-weight: 400\">The banks are the mediators for the management of the <\/span><b>AD code <\/b><span style=\"font-weight: 400\">and the <\/span><b>Export Payment code.<\/b><span style=\"font-weight: 400\"> To obtain the 14-digit authorized dealer code, the exporters and importers approach their authorized banks. Upon approval, the banks that are authorized by the RBI issue the AD code to <\/span><b>export houses<\/b><span style=\"font-weight: 400\">. Well, the Export Payment Code is also a part of payment transactions, but it is not used by the export businesses. But understanding the <\/span><b><a href=\"https:\/\/www.legalraasta.com\/blog\/ad-code-registration-online-application-in-india\" target=\"_blank\" rel=\"noopener\">AD code registration<\/a> and payment code requirements <\/b><span style=\"font-weight: 400\">matters for the exporters. But why does it matter? To understand this topic, we will explore the difference between AD code and payment, including their use and consequences.\u00a0<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_73 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#1_Background_The_Export_Ecosystem_Regulatory_Framework\" title=\"1. Background: The Export Ecosystem &amp; Regulatory Framework\">1. Background: The Export Ecosystem &amp; Regulatory Framework<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#A_Directorate_General_of_Foreign_Trade_DGFT\" title=\"A. Directorate General of Foreign Trade (DGFT)\">A. Directorate General of Foreign Trade (DGFT)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#B_Reserve_Bank_of_India_RBI\" title=\"B. Reserve Bank of India (RBI)\">B. Reserve Bank of India (RBI)<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#C_Customs_Department\" title=\"C. Customs Department\">C. Customs Department<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#2_Understanding_the_Authorized_Dealer_AD_Code\" title=\"2. Understanding the Authorized Dealer (AD) Code\">2. Understanding the Authorized Dealer (AD) Code<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#3_What_is_the_Export_Payment_Code\" title=\"3. What is the Export Payment Code?\">3. What is the Export Payment Code?<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#4_How_Many_Types_of_Export_Payment_Codes\" title=\"4. How Many Types of Export Payment Codes?\">4. How Many Types of Export Payment Codes?<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#5_Use_of_RBI_Purpose_Codes_Banks_Exporters_Remittance_Instructions\" title=\"5. Use of RBI Purpose Codes: Banks, Exporters, Remittance Instructions\">5. Use of RBI Purpose Codes: Banks, Exporters, Remittance Instructions<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#6_Difference_between_AD_Code_and_Purpose_Code\" title=\"6. Difference between AD Code and Purpose Code\u00a0\">6. Difference between AD Code and Purpose Code\u00a0<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#8_Possible_FAQs_for_Your_Doubts\" title=\"8. Possible FAQs for Your Doubts\">8. Possible FAQs for Your Doubts<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/www.legalraasta.com\/blog\/difference-ad-code-and-export-payment-code\/#a_Can_one_AD_code_be_used_at_multiple_ports\" title=\"a. Can one AD code be used at multiple ports?\">a. Can one AD code be used at multiple ports?<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"1_Background_The_Export_Ecosystem_Regulatory_Framework\"><\/span><b>1. Background: The Export Ecosystem &amp; Regulatory Framework<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\">To make the foreign trade activities smooth and transparent, multiple regulatory bodies and laws are implemented. Among them, the top one is DGFT. In India, the Directorate General of Foreign Trade is responsible for monitoring India&#8217;s foreign trade operations. As per the requirements, it formulates and implements the <\/span><b>Foreign Trade Policy (FTP)<\/b><span style=\"font-weight: 400\">. Furthermore, for the management of foreign trade exchange, the primary legal frameworks are implemented under the Foreign Trade (Development and Regulations) Act, 1992, and the Foreign Exchange Management Act (FEMA), 1999. In detail, the major key regulatory bodies and their functions:\u00a0<\/span><\/p>\n<h3 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"A_Directorate_General_of_Foreign_Trade_DGFT\"><\/span><b>A. Directorate General of Foreign Trade (DGFT)<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul style=\"text-align: justify\">\n<li style=\"font-weight: 400\"><b>Role: <\/b><span style=\"font-weight: 400\">DGFT works by collaborating with the Ministry of Commerce and Industry. In general, it serves as the chief administrator for foreign trade.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Functions:<\/b><span style=\"font-weight: 400\"> It monitors India&#8217;s Foreign Trade Policy (FTP). Formulate and implement new rules and regulations. Acts as the licensing authority that issues licenses to export-import businesses. It also authorizes the Foreign Trade (Development and Regulations) Act, 1992.<\/span><\/li>\n<\/ul>\n<h3 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"B_Reserve_Bank_of_India_RBI\"><\/span><b>B. Reserve Bank of India (RBI)<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul style=\"text-align: justify\">\n<li style=\"font-weight: 400\"><b>Role:<\/b><span style=\"font-weight: 400\"> It is the biggest Indian central bank that manages all Indian bank branches. It is further associated with the management of foreign exchange.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Functions:<\/b><span style=\"font-weight: 400\"> It authorizes the small banks, such as the RBI and others, to deal in foreign exchange. Monitors the flow of foreign exchange transactions. It implements the Foreign Exchange Management Act (FEMA), earlier known as FERA. It ensures that exporters and importers receive the foreign payment from the right banking channel.<\/span><\/li>\n<\/ul>\n<h3 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"C_Customs_Department\"><\/span><b>C. Customs Department<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul style=\"text-align: justify\">\n<li style=\"font-weight: 400\"><b>Role: <\/b><span style=\"font-weight: 400\">The customs activities come under the Central Board of Indirect Taxes and Customs (CBIC). The customs authorities are responsible for in-person verifying goods quality and all other requirements, as well as clearing them at borders.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Functions:<\/b><span style=\"font-weight: 400\"> It collects the duties that are imposed on imported products. It monitors all import and export activities and also ensures the Bill of Entry and Bill of Landing.\u00a0<\/span><\/li>\n<\/ul>\n<h3 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"2_Understanding_the_Authorized_Dealer_AD_Code\"><\/span><b>2. Understanding the Authorized Dealer (AD) Code<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify\"><b>AD code registration<\/b><span style=\"font-weight: 400\"> is a comprehensive process where the export-import businesses register for a 14-digit authorized dealer code. The registration allows businesses to conduct international trade activities legally. The registration process, which uses the IEC (Import-Export Code), links the current bank account to the customs system and the RBI. This 14-digit code is important for customs clearance, seamless foreign transactions, government benefits, and monitoring currency inflows. The authorized dealer code is usually issued by the banks where exporters hold their current accounts.<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"color: #0000ff\"><b>For example<\/b><\/span><span style=\"font-weight: 400\">, if an exporter seeking to deal in international trade markets and holding its current account at SBI (State Bank of India) visits this branch manager.\u00a0<\/span><\/p>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\">It first ensures whether this bank deals in foreign exchange or not; if yes, the bank will issue an <\/span><b>AD code letter<\/b><span style=\"font-weight: 400\"> on its letterhead.\u00a0<\/span><\/p>\n<blockquote>\n<p><span style=\"font-size: 14pt\"><em><strong>User Query: <a href=\"https:\/\/www.legalraasta.com\/blog\/role-of-banks-ad-code\/\" target=\"_blank\" rel=\"noopener\">Role of Banks in the AD Code Registration Process<\/a><\/strong><\/em><\/span><\/p>\n<\/blockquote>\n<h3 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"3_What_is_the_Export_Payment_Code\"><\/span><b>3. What is the Export Payment Code?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\">The &#8220;Export Payment Code&#8221; is commonly recognized as the P0102 purpose code. The code is used for categorizing inward remittances from the realization of export bills for goods. The code is used by the banks to ensure that export businesses receive the foreign currency from legal trade activities. The major parameters of the P0102 code are<\/span><\/p>\n<ul style=\"text-align: justify\">\n<li style=\"font-weight: 400\"><b>Purpose: <\/b><span style=\"font-weight: 400\">Its purpose is to ensure the foreign currency. It determines that the exporter receives the goods payment from a legal channel and submits all records to the RBI.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Usage: <\/b><span style=\"font-weight: 400\">The code is mainly used when an international buyer gets their shipment and the exporter realizes the full invoice value of the goods.<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Requirement:<\/b><span style=\"font-weight: 400\"> The code is mandatory for the banks to determine the real nature of foreign exchange transactions. It also helps export businesses to align with FEMA and RBI laws.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Significance:<\/b><span style=\"font-weight: 400\"> The P0102 code is largely used for Indian exporters who deal in foreign exchange.\u00a0<\/span><\/li>\n<\/ul>\n<h4 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"4_How_Many_Types_of_Export_Payment_Codes\"><\/span><b>4. How Many Types of Export Payment Codes?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\">The export payment code is used by the banks, usually by the Reserve Bank of India. The common export codes with their purpose:<\/span><\/p>\n<table style=\"width: 65.922%;height: 83px\">\n<tbody>\n<tr style=\"height: 83px\">\n<td style=\"width: 10.4134%;height: 83px\">\n<p><b>Codes\u00a0<\/b><\/p>\n<\/td>\n<td style=\"width: 185.652%;height: 83px\">\n<p style=\"text-align: center\"><b>Purpose<\/b><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"text-align: justify\"><b>P0102: <\/b><span style=\"font-weight: 400\">Use for the Indian exporters who receive payment after shipment.<\/span><\/p>\n<p style=\"text-align: justify\"><b>P0103:<\/b><span style=\"font-weight: 400\"> When an export business receives payment in advance before shipment.<\/span><\/p>\n<p style=\"text-align: justify\"><b>P0104<\/b><span style=\"font-weight: 400\">: For those exports that are not covered by the shipping bill.<\/span><\/p>\n<p style=\"text-align: justify\"><b>P0108: <\/b><span style=\"font-weight: 400\">Goods that are sold under merchanting trade.<\/span><\/p>\n<p style=\"text-align: justify\"><b>P0802: <\/b><span style=\"font-weight: 400\">For software implementation\/assistance services<\/span><\/p>\n<p style=\"text-align: justify\"><b>P1006: <\/b><span style=\"font-weight: 400\">Management and Business Assistance Services<\/span><\/p>\n<h3 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"5_Use_of_RBI_Purpose_Codes_Banks_Exporters_Remittance_Instructions\"><\/span><b>5. Use of RBI Purpose Codes: Banks, Exporters, Remittance Instructions<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\">To receive the foreign payment for export, the banks, as well as exporters, use the RBI&#8217;s purpose code in India. The code is used to determine the remittance reason during international transactions. The code is also used by the banks to ensure that the exporter has adhered to the Foreign Exchange Management Act (FEMA). In general, the code is used by the:<\/span><\/p>\n<ol style=\"text-align: justify\">\n<li style=\"font-weight: 400\"><b>Exporter:<\/b><span style=\"font-weight: 400\"> An Indian exporter uses the RBI purpose code when it receives a foreign payment. It issues the purpose code to the bank where it holds its current account.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Authorized Banks:<\/b><span style=\"font-weight: 400\"> The banks that serve as authorized dealers play a vital role in managing the foreign exchange data. It uses the RBI&#8217;s purpose code during foreign currency transactions. Such banks are responsible for submitting all transaction records to the RBI. This transaction data is submitted through the Export Data Processing and Monitoring System (EDPMS).\u00a0<\/span><\/li>\n<li style=\"font-weight: 400\"><b>Foreign Client: <\/b><span style=\"font-weight: 400\">The SWIFT messaging system is used by international clients or buyer banks who ask for payment purposes.\u00a0<\/span><\/li>\n<\/ol>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\">For example, if an Indian exporter is receiving the inward remittances from the foreign dealer, the code is used to describe the nature of the transactions to the bank.\u00a0<\/span><\/p>\n<h4 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"6_Difference_between_AD_Code_and_Purpose_Code\"><\/span><b>6. Difference between AD Code and Purpose Code\u00a0<\/b><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\">The authorized dealer code, which comes with a 14-digit character, is used by the exporters to get customs clearance, and it also smooths foreign exchange transactions. Whereas the Export Payment Code is used by the banks to ensure the purpose of international export payments. Understand the difference through the table:\u00a0<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td>\n<p><b>Features<\/b><\/p>\n<\/td>\n<td>\n<p><b>AD (Authorized Dealer) Code<\/b><\/p>\n<\/td>\n<td>\n<p><b>Export Payment Code<\/b><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><b>Issuing Authority\u00a0<\/b><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Banks are authorized by the RBI, which issues the AD code letter to exporters<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">It is issued by the banks<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><b>Function<\/b><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">AD code links the export business bank account to import-export activities.\u00a0<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Use internally to determine the types of export payment methods.<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><b>Format<\/b><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">It contains 14-digit characters.<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Contains the five alpha-numerics, starts with a P constant, and is followed by four numbers.<\/span><b> For example, <\/b><span style=\"font-weight: 400\">P0103 is used when exporters receive foreign payment in advance.\u00a0<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><b>Requirement for Customs\u00a0\u00a0<\/b><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">It is compulsory to get the customs department approval for goods shipments at ports.<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Not directly connected to the customs process, but crucial, as it is an internal bank code for payment processing.<\/span><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td>\n<p><b>Mandatory for Exporters<\/b><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">Yes, AD code registration along with the IEC number is mandatory for Indian exporters who are associated with international trade activities.<\/span><\/p>\n<\/td>\n<td>\n<p><span style=\"font-weight: 400\">No, it is not mandatory for the exporters, but it is linked with the internal processing of a transaction.\u00a0<\/span><\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p style=\"text-align: justify\">\n<b>7. Sum Up | Purpose of Payment Codes: India vs. AD Code<\/b><\/p>\n<p style=\"text-align: justify\"><b>AD code bank account registration<\/b><span style=\"font-weight: 400\"> is mandatory for the<\/span><b><a href=\"https:\/\/www.legalraasta.com\/blog\/ad-code-new-export-houses\" target=\"_blank\" rel=\"noopener\"> new export houses<\/a>. <\/b><span style=\"font-weight: 400\">The code is used by banks and exporters to deal in foreign exchange and to get customs clearance. Whereas the Export Payment Code is used to categorize types of export payment transactions. Both are essential codes in their own domains. In short, the AD code is used by the customs department to get bank details, whereas the purpose code is used by the banking system to ensure the transaction&#8217;s reason. By ensuring both codes, the exporters can make their foreign exchange journey smoother and more convenient. Visit the LegalRaasta.com website to get assistance for a smooth <\/span><b>AD code registration on ICEGATE.\u00a0<\/b><\/p>\n<h4 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"8_Possible_FAQs_for_Your_Doubts\"><\/span><b>8. Possible FAQs for Your Doubts<\/b><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<h4 style=\"text-align: justify\"><span class=\"ez-toc-section\" id=\"a_Can_one_AD_code_be_used_at_multiple_ports\"><\/span><b>a. Can one AD code be used at multiple ports?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p style=\"text-align: justify\"><b>Ans.<\/b><span style=\"font-weight: 400\"> Yes, a single authorized dealer code can be used at multiple ports. There is one registration required on the ICEGATE portal. Once it registers at a single port via the portal, it will be automatically available at all locations. The <\/span><b>Ad Code Registration is important in speeding up your customs clearance.<\/b><\/p>\n<p style=\"text-align: justify\"><b>b. Do digital export\/service providers need an AD code?<\/b><\/p>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\">Ans. Yes, even service exporters require an AD code to receive foreign currency legally.<\/span><\/p>\n<p style=\"text-align: justify\"><b>c. What is P0103 vs. P0102?<\/b><\/p>\n<p style=\"text-align: justify\"><b>Ans<\/b><span style=\"font-weight: 400\">. The P0102 code is used for the realization of export bills for goods, whereas the P0103 code is used for determining advance receipts against export contracts. <\/span><\/p>\n<p style=\"text-align: justify\"><b>d. How long can I use the AD code?<\/b><\/p>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\"><em><strong>Ans.<\/strong><\/em> As long as your linked bank account remains unchanged, the AD code will be valid for a lifetime. For a single change to your bank details, you will need to re-register the authorized dealer (AD) code. <\/span><\/p>\n<p style=\"text-align: justify\"><b>e. Can purpose code be changed after remittance is initiated?<\/b><\/p>\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\"><em><strong>Ans.<\/strong><\/em> No, the changes in the purpose code after remittance have started are not possible.\u00a0<\/span><\/p>\n<p style=\"text-align: justify\">\n<p style=\"text-align: justify\"><span style=\"font-weight: 400\">\u00a0<\/span><\/p>\n<p style=\"text-align: justify\">\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The banks are the mediators for the management of the AD code and the Export Payment code. To obtain the 14-digit authorized dealer code, the exporters and importers approach their authorized banks. Upon approval, the banks that are authorized by the RBI issue the AD code to export houses. Well, the Export Payment Code is also [&hellip;]<\/p>\n","protected":false},"author":15,"featured_media":33307,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[5340],"tags":[],"class_list":["post-33305","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ad-code"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Difference Between AD Code and Export Payment Code<\/title>\n<meta name=\"description\" content=\"Explore difference between AD Code &amp; Export Payment Code, types of code, &amp; background of export payment system &amp; regulatory framework.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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