Bank guarantee — if the bank (guarantor) submits a written application for the payment of a sum of money to the creditor (beneficiary)of the printsipal in accordance with the conditions of the obligation to which the guarantor undertakes according to the order of another person (principal), a written obligation (guarantor) that gives him the principle of payment of money. This type of banking services guarantees the fulfillment of the obligations of the client before the counterparties and other banks.
When issuing guarantees, a contract is concluded with the client, which indicates the procedure for issuing bank guarantees, its terms, payment terms and mutual obligations of the parties. In some cases, this agreement requires a security similar to a loan agreement. To obtain a bank guarantee, the client submits documents according to the established list for obtaining a loan to the bank.
Bank guarantee
For manufacturing and service industries:
- The amount of the guarantee - Based on contract amount
- Guarantee period - due to the terms of the contract
- Interest rate- quarterly 1% of the guarantee amount
provision of credit:
- Buildings and structures;
- Motor vehicles and/or special technical equipment;
- Insurance policy.
- or any other legal forms of provision
Documents to be provided:
- Application;
- Business plan;
- Financial statement;
- Auditor's report for the last financial reporting year.
- Consent of the shareholders of the legal entity
Provision documents
If there is a mortgage:
- Property valuation report;
- Cadastral documents, technical passport and/or technical supervision;
- Minutes of the founders ' meeting on consent to bail.
If there is an insurance:
- Insurance contract and policy.
