Types of Guarantee

  • Advance Payment Guarantee
  • Performance Guarantee
  • Tender or Bid Guarantee
  • Guarantee for Warranty Obligations

However in trade bank guarantees essentially serve the same purpose as stand by letter of credit.

A standby letter of credit (SLOC) is a lender's guarantee of payment to an interested third-party in the event the client defaults on an agreement.

How to get a Standby Letter of Credit in GTBank

  • Customers instruction letter
  • Agreement between the parties
  • Collateral (pledge funds(cash) or the Banks credit line)