Banker’s Guarantee | Standby Letter | DBS SME Banking CN

Banker’s Guarantee / Standby Letter of Credit

Provide assurance and peace of mind to your beneficiaries

Provide assurance and peace of mind to your beneficiaries

At a Glance

Reassure your buyers or sellers of payment no matter what happens.

Banker’s Guarantees are independent undertakings which help to mitigate default risks for the beneficiary

We will pay to your beneficiaries upon receipt of a claim that complies with the terms of the guarantee

Features & Benefits

Uses of Banker's Guarantee / Standby Letter of Credit

Payment Guarantee
Protects the beneficiary if the applicant fails to honour the payment under their contract.

Bid Bond
Enables the applicant (bidder) to use DBS credit to support the bid. Can also be used to assure the successful bidder that the contract will be met.

Performance Bond
Some bidding contracts require the successful bidder to provide a performance guarantee to protect against a default.

Financial Guarantee
This helps the applicant’s overseas subsidiaries obtain financing or credit facilities from banks.

	Conditions of Guarantee
	Can be issued by DBS China or our overseas branches/correspondents, according to the guarantee format provided by the applicant. Guarantees issued in favour of beneficiaries must be for a specific amount, expiry date, and claim period. Guarantees should not be assigned to other parties.