Bank guarantee

It is a guarantee issued by a bank under the form of irrevocable and unconditional undertaking to pay an amount against  a request/ claim made by the beneficiary of the guarantee.

Types of guarantees usually used:

• Bid bonds
• Performance bonds
• Advance payment guarantees
• Payment guarantees

According to the peculiarities of certain transactions, some other types of guarantee may occur, namely:

• Customs guarantees
• Credit facility guarantee
• Contra-guarantees.