Master Bill vs. House Bill: Know the Difference, Ship with Confidence

1. Overview: What Are MBL and HBL in International Logistics?
In global trade, the Bill of Lading (B/L) is a critical document that proves cargo ownership and facilitates customs clearance, freight release, and L/C (Letter of Credit) payments.
There are two primary types:
- Master Bill of Lading (MBL): Issued by the carrier or its agent.
- House Bill of Lading (HBL): Issued by the freight forwarder or their agent.
Understanding the key differences helps businesses choose the right document for secure and efficient international shipping.
2. When to Use Master Bill and When to Use House Bill
You can obtain a B/L through two main booking channels:
- Booking directly with a carrier: You receive an MBL where your company is listed as the Shipper and your buyer (or their freight agent) as the Consignee.
- Booking via a freight forwarder: The carrier issues an MBL to the forwarder. The forwarder then issues an HBL to you, with your company as Shipper and your buyer as Consignee.
In many cases, you can request the forwarder to provide the original MBL (OBL) with Shipper and Consignee reflecting your exact trade parties to meet banking or compliance requirements.
3. Master Bill vs House Bill – Key Differences
4. Real-World Example
Let’s say Company A in Vietnam exports to Company B in China and books the shipment through Forwarder C.
- MBL: Issued by the carrier to C
→ Shipper: C / Consignee: C’s agent in China
- HBL: Issued by C to A
→ Shipper: A / Consignee: B
When the cargo arrives at port, the Consignee (C’s agent) will handle cargo release and coordinate delivery to B. If Company A needs the original bill for L/C purposes, C can help revise the MBL details accordingly.
5. Key Considerations When Using MBL and HBL
- Choose MBL when you need high legal security or L/C compliance with banks.
- Use HBL for consolidated shipments (LCL) or when working closely with a trusted forwarder managing end-to-end logistics.
Understanding the differences between Master Bill and House Bill helps you minimize risk, align with trade requirements, and ensure smooth cargo release and payment.
We manage thousands of international shipments yearly and provide tailored support on documentation, customs, and freight strategy to keep your global supply chain moving – securely and efficiently.
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Real Logistics Co.,Ltd
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