Leased Bank Guarantee (BG)

Leased Bank Guarantee (BG)

Receive a Leased BG Today!

SERVICE AND INSTRUMENT DESCRIPTION:

If you are an organization involved in trade finance, global finance, project finance, credit enhancement, etc. you have your right choice to use our bank guarantee to secure your business financing. However small businesses will not be able to raise funds from BG investors.

This option (Leasing bank guarantee) BG is considered to be the favorable polisher for many institutions. Some rely on this, but most of the consumers are not aware of this option. We suggest you have the opportunity to utilize a different firm’s Cash-backed BG for a lease or a fee.

To run a perfect stress-free ownership, the asset holder with merge the joint ownership with the potential creditor. In either case, you have your option to transfer your assets.

The account holder will get the same rights of ownership by BG. However, the new owner may only place a lien, monetize, encumber and use this account for certain security purposes.

Leased Bank Guarantee (BG)

Banksinstruments.com use Bank guarantee from certain authorized famous banks across the globe which in turn helps to exploitl. We use Swift MT799/MT760, Bloomberg, DTC and Euroclear to deliver leased bank guarantee to different banks.

  1. We Protect Our Client Deposits Fully Through 2 Levels of ProtectionYou never have to worry about your security with our two levels of protection:
    1. A Two Percent (2%) Non-Performance Penalty
    2. A Program to Refund Deposits (all our agreements are Bank Endorsed with full bank responsibility as an insurance wrap)
      • With our agreement with banks, that bank becomes responsible for payment when the transaction becomes complete.

    This Refund Deposit  Program protects our clients and makes sure that the deposits are completely safe.

16 Reasons to Leased a Bank Guarantees from Us!

  1. Our Program Operates with the Top 100 Banks of the World
  2. We offer monetization for our own bank instrument in case clients needs this service.
  3. Our Bank Guarantees are available in a variety of currencies like the USD or Euro.
  4. We offer Low Leasing Rates of 16+2 (18% Total)  for Rated Bank or 10+2 (12% Total) for Non-Rated Bank.
  5. Offer five calendar days to have full payment after the MT760 or screen block arrives at your bank.
  6. We include pre-advice MT799
  7. We protect 100 percent of your deposit with Bank Endorsement.
  8. We do not allow Corporate or Personal Checks.
  9. You do not need to show your project documents.
  10. We promise that after an LOI is completed, it will be signed within 24 hours.
  11. We deliver the MT760 to your institution.
  12. We offers Swift, Bloomberg, Euroclear or DTC delivery to your Bank.
  13. We will pay a commission of up to 1.5% to any brokers.
  14. We develop your BG specifically for each client.
  15. We impose a performance penalty of 2% in every contract.
  16. Our banks endorse our deposit guarantee, and also ensure to payout. 

Deposit Requirements for Leased BG’s via SWIFT: 

Instrument Face Value Deposit Required - Euros
10 Million to 250 Million 2% of the Bank Instrument Face Value
250 Million to 500 Million 1.5% of the Bank Instrument Face Value

Deposit Requirements for Leased BG’s via EUROCLEAR & BLOOMBERG delivery: 

Instrument Face Value Deposit Required - Euros
€10 Million €150,000
€20 Million €200,000
€30 Million €250,000
€40 Million €275,000
€50 Million €300,000
€60 Million €315,000
€70 Million €325,000
€80 Million €350,000
€90 Million €365,000
€100 Million €385,000
€150 Million €425,000
€200 Million €450,000
€250 Million €475,000
€300 Million €500,000
€350 Million €550,000
€400 Million €600,000
€450 Million €650,000
€500 Million €700,000

Estimated Completion Time:

  • The SWIFT MT760 will be Delivered in 2 Days following the Issuing and Receiving Banks exchange of MT799s.

 

Brokers & Consultants:

  • Respected in the Industry
  • Larger Commissions 
  • You Won’t Be Just Another Broker in a Chain

 

 

Become a Banks Instruments Broker Today! Click Here

SWIFT Closing Process

1. The Beneficiary and provider sign the contract initiating the memorandum of understanding and the letter of intent. This enters them into a contractual agreement.

2. During an upcoming day of business the providing bank will endorse the agreement, granting the beneficiary payment for:
* Swift delivery of the MT799 and MT760
* MT760 Cost of Portfolio Reservation
* Verifying the Beneficiary
*Compliance Assessment Coordinated by the Bank

3. The Beneficiary’s institution has two days to send the payment of the reservation cost, SWIFT delivery, etc. by a wire transfer. Then a receipt of this transfer is emailed to the provider.

4. The Provider’s Bank has three business days from the receipt of the the itemized list of costs to issue payment and delivery to the beneficiary’s institution.

5. Within ten business days the Provider must send MT-799 Pre-Advice to the beneficiary’s bank, and email a copy to the beneficiary. This is to conclude whether they are ready to receive the SWIFT MT103, which must compete within 5 days.

6. Within three days the receiving bank must state confirmation of the receipt and note that they are ready to receive the SWIFT MT760, and will pay within 5 days.

7. Within three days the provider’s institution will send the BG through the SWIFT MT760.

8. When the receiving bank has received the BG, they will confirm this with the other bank and will pay within 5 days 18%, which includes a 2% consultant fee.

9. If the beneficiary foes do not pay the payments, then the Provide will place a claim on the BG which causes the receiver’s institution to return the BG through SWIFT MT760. Any payments that have been made will not be refunded.

10. The provider’s bank has one week within the reception of the payment of the BG to send a copy of the BG to the beneficiary’s bank through a courier that is bank-bonded.

11. Any additional tranches will abide by the same procedures and will continue until the funds have been depleted.

Important: Our contracts have a clause that requires the purchaser to return the Leased Bank Guarantee (BG) to the institution that issued the BG no later than 15 days before the first year anniversary of the contract.  This is required of all leased bank guarantees. 

Euroclear & Bloomberg Closing Process:

  1. Provider and Beneficiary execute, sign and initiate this Letter of Intent / Memorandum of Understanding, which thereby automatically becomes a full commercial recourse contract agreement.
  2. One Banking day the Provider Bank Endorsed this agreement guarantee the Beneficiaries payment for the:
    • Swift Transmission (MT799 and MT760)
    • Portfolio Reservation Cost (MT760)
    • Beneficiary Verification
    • Bank Delivery Coordinates Compliance Assessment
  3. Beneficiary, within two (2) international banking days, instructs his Bank to send swift transmission/portfolio reservation cost of $XXX,XXX (_________________________) by wire transfer to the Providers provided receiving bank coordinates, and emails a copy of the wire transfer receipt to the Provider.
  4. Within three (3) banking days after the Providers Bank has received above bank swift transmission/portfolio reservation cost, Provider will instruct his issuing bank to cut the Bank Instruments for the Beneficiary and schedule it delivery via Euroclear/Bloomberg Screen to the Beneficiaries Bank
  5. Within ten (10) banking days provider’s institution must email a certified receipt of the Bank Instrument delivery through Euroclear/Bloomberg. (Provider shall provide a copy of said Euroclear/Bloomberg screen to the Beneficiary by email).
  6. Once the receipt is acknowledged the Beneficiary immediately pay for the leasing fees. (screen block and pay).
  7. The Bank Instrument has to be returned no more than 15 days before the contract has been signed for a year.

 

Required Documents:

  1. Fill out Bank Guarantee Application Below
  2. When you’ve finished the Bank Guarantee Application and email it to: helpdesk@banksinstruments.com

Compliance Standard:

  • Accepted Standard: Clients must abide by our standards and accurately fill out the application online.
  • Rejected Standard:

Important Information:

  1. With our BG delivery service, everything is nonnegotiable. We will not alter the price of any part of this service.
  2. There is no way to have a FREE BG, or to allow a client to pay for a BG after the MT760 has arrived. If this is not paid in full, or paid for under the Bank Payment Undertaking, then no BG will ever be delivered. Banks will not deliver any BGs until the funds are secure.

 

Download the Bank Guarantee (BG) – Leased Application Here!