Features of Banker’s Guarantee
Banker’s Guarantees are independent undertakings which help to mitigate payment risks for the beneficiary.
Usage of Banker's Guarantee
Performance Bond: Some bidding contracts require the successful bidder to provide a Performance Guarantee to protect against a default such as:
- Security bond favouring Controller of Immigration for foreign workers, students pass, social visit pass, etc.
- Exit permit guarantee favouring Central Manpower Base
- Tender/Bid Bonds
- Financial Guarantee: Issued as an alternative as cash/security deposit that the principal need to place with the beneficiary for an underlying transaction.
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