Bank Guarantees

Bank Guarantees

Bank guarantee is the obligation of the Bank to make a payment of a certain amount to the Client’s counterparty (beneficiary) if the Client fails to fulfil its contractual obligations. The Bank guarantees payment of the amount indicated in the guarantee.

The Bank's clients, as well as external companies and organisations being clients of the other banks, are entitled to obtain a bank guarantee.

The Bank provides the following bank guarantee types:

  • Contract performance bond (including in accordance with the Federal Law No. 44-FZ and No. 223-FZ)

  • Tender guarantee

  • Advance payment guarantee

  • Payment guarantee

  • Customs guarantee

  • Bank guarantee of performance on use of the purchased excise stamps in accordance with its designation

Commission is determined on an individual basis and depends on various factors (risk level related to the guarantee issue, Principal’s financial condition, coverage, and other factors).

Commission payment procedure: single payment at the guarantee issue date.

If required, the Bank may establish a limit for bank guarantee issue. Once the limit is set, the Client at any time can apply to us and obtain another bank guarantee within the established limit.