Under the conditions of unstable economic environment, the bank guarantee becomes more common mean of securing claims in business.
Bank guarantee is a payment security measure that defines the relationship between the Principal and the Beneficiary representing an irrevocable statement of the Bank, according to which the Bank shall pay to the Beneficiary of the Guarantee defined amount of money in case of non-performing or irregular performing of the Principal's obligation, as stated in the document based to which the guarantee was issued.
BOR Bank offers to its customers a possibility of using all types of bank guarantees in a quick and easy way. These are the basic types of guarantees that we meet in our business practice:
- Bidding, offering and tender guarantee
- Guarantee for deferred payment
- Performance guarantee – during work and within warranty period
- Repayment guarantee
- Customs guarantee
- Guarantee for ensuring regular servicing of loan
The Bank is open for contracting special arrangements reserved for the Bank customers.
DOCUMENTARY LETTERS OF CREDIT (L/C)
Documentary Letter of Credit by definition is an irrevocable statement of the bank to repay the amount stated in the letter of credit to the credit user, after the customer presents documents that confirm that certain goods are delivered or that services are performed within time limit and that they are in accordance with the requirements defined in the L/C.
The Bank offers two types of Letters of Credit:
- Import (nostro) L/C
- Export (loro) L/C