International bank guarantees

You are the IMPORTER and want …

  • To protect yourself from the non execution or execution of defective contracts by the business partners.
  • To optimize financing needs
  • To protect from the risk of loosing the advance payment
  • To facilitate the obtaining of some commercial loans with advantageous conditions 
  • To facilitate the participation of foreign suppliers at the tenders organized by you

You are the EXPORTER and want …

  • To reduce the commercial, financial, political risks of the transaction
  • To be able to obtain and advance for the delivery that you are going to perform
  • To take part in international tenders without immobilizing your funds
  • To receive financing from Mobiasbanca covered by the guarantee of a foreign bank.

Mobiasbanca is offering …

Perfect solution – Bank guarantee 

Letter of banking guarantee is a guarantee tool instrument issued by the bank, at the order of its client, in the form of an irrevocable and unconditional commitment to pay a sum of money to the request of guarantee’s beneficiary 

Main types of guarantees

  • Letter of bank guarantee of good payment (Payment guarantee) is granted at the request of the buyer and ensure to seller the payment of supplies of goods or services. The bank undertakes to pay irrevocably according to the conditions, the guaranteed amount if the buyer has not paid at expiration.
  • Letters of bank guarantee  of the payment advance return(Advance Payment Guarantee) - is granted at the request of the seller and ensures the reimbursement, if the seller does not fulfil its contractual obligations.
  • Letters of bank guarantee of participation at the tender (Bid Bond) - is given to applications for public tender. Bank is committed to pay the beneficiary the guaranteed amount if the offer is withdrawn by the bidder before the award, if the order is refused by the bidder after award, if the tender security is not replaced by a performance guarantee after award. Usually is issued in the amount of 1-5% of the bid.
     
  • Letters of bank guarantee for proper performance of commercial contracts (Performance Bond) - is granted at the request of the seller and the buyer ensures proper performance of the commercial contract. Bank is committed to pay the beneficiary the guaranteed amount if the seller does not fulfil its contractual obligations in terms of quantity, quality of goods delivered, of performed work or rendered services and / or delivery terms. Usually is issued in the omount oft 10% of the contract value.
  • Letters of bank guarantee for repayment of a loan (Loan Guarantee Reimbursement) - shall be granted to cover the credit which the third bank gives (beneficiary of guarantee) in favour of individuals and legal entities. Bank is committed to pay the beneficiary the guaranteed amount if the debtor does not repay the received loan.
  • Stand-by letter of credit - a tool to protect against the potential risks of international trade, which combines the advantages of a letter of banking guarantee to those of a documentary credit.