A bank guarantee is an irrevocable guarantee document issued on behalf of the Applicant to another party (Beneficiary), securing any payment against the submission of a written demand or a document(s) provided for in the guarantee agreement.

The main advantages of using the guarantee products of Bank Respublika:

  • Guarantee costs are lower than the costs of the loan
  • Prompt approval of guarantee
  • Minimal document requirement
  • No additional costs, such as insurance or valuation
  • Issue of guarantees with the approval of the world's leading banks (including Commerzbank, Raiffeisen Bank International, and others)
  • Possibility to issue guarantees without collateral (depending on the entrepreneur's financial performance and use of other bank products)
  • Individual approach to customers
  • Possibility to carry out trade activities without attracting additional financial resources
  • Opportunity to use the experience of bank employees in preparing the payment terms of trade agreements

The advantages of bank guarantees for a Seller:

  • Elimination of the risk of non-payment
  • Opportunity to participate in tenders for large projects
  • Feeling secure due to bank guarantee in case of default
  • Opportunity to receive an advance payment, which is more profitable than borrowing in local currency

The advantages of bank guarantees for a Buyer:

  • Elimination of the risk of non-fulfillment of contractual obligations by the Seller and of non-conforming quality of goods
  • Possibility to make an advance payment to the Seller and demanding a refund of the advance payment if the Seller fails to perform his duties
  • Opportunity to repeat transactions with a bank guarantee issued for the benefit of regular partners
  • Opportunity to use financial resources more efficiently, keeping the Buyer free from advance payment

Bank Respublika offers the following guarantees to its customers:

  • Payment Guarantee
  • Bid Bound
  • Performance Bond
  • Advance Payment Guarantee
  • Customs Guarantee