Bank guarantees
Bank Guarantees - Bank"s commitment on the basis of the principal"s (bank"s client"s) assignment.
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General Information:
Bank Guarantee is a written guarantee ing that the Bank (Guarantor) will make a payment to the other party upon a submission of their written request or other documents, as specified in the Letter of Guarantee (Guarantee), in case of a non-payment to the other party (Seller) in accordance with the Buyer"s obligations.
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Types of Guarantees offered by Expressbank: |
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Payment Guarantee |
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Advance Guarantee |
| Performance Guarantee |
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Bid Guarantee (Bid Bond) |
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A Customs Guarantee * |
| Advantages for the Buyer under this service: |
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| Opportunity to receive a grace period for the payment for the purchased goods / services. |
| Ensuring a financial reputation in relations with partner companies on the basis of guarantees provided by the Bank |
| Advantages for the Seller under this service: |
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| The risk of non-payment arising from the provision of goods / services through an open account is reduced. |
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Faster sales with high reliability |
* A Customs Guarantee is a financial commitment provided in favor of customs authorities to ensure the timely payment of customs duties and charges by clients engaged in import and export operations.
Advantages of using a Customs Guarantee:
- Acceleration of the customs clearance process for goods crossing the customs border of the Republic of Azerbaijan;
- Possibility of deferred payment of customs duties, allowing cash flow optimization without withdrawing funds from circulation;
- Elimination of the need for long-term blocking of funds in customs authorities’ accounts;
- Lower costs compared to credit facilities.
