Banker’s Guarantee / Standby Letter
of Credit

(1) Application: Submit your application to DBS  
(2) Issuance: Choose how you want the BG/SBLC to be delivered  

• Courier hard copy to you or your beneficiary  
• Self-collection at our Trade Document Counters or Collection Branches 
• Send instructions for delivery to the Beneficiary’s Advising Bank  
• For eGuarantee (Singapore only), the guarantee will be delivered to the beneficiary via the Networked Trade Platform. Find out more about eGuarantee@Gov.

You may refer to the following explanatory notes for guidance:  

• BG Explanatory Notes 
• SBLC Explanatory Notes 

If you apply via DBS IDEAL Trade Finance, you can easily track the status of your application in real-time. 

Yes, you can refer to the standard formats for commonly used BG and Standby LC below. Alternatively, you can request the beneficiary to provide a specific format. 

• Advance Payment Guarantee Standard Format 
• Financial Standby LC Standard Format 
• Payment Demand Guarantee Standard Format 
• Payment Standby LC Standard Format 
• Performance Guarantee Standard Format 
• Tender Guarantee Standard Format 

Submit the application form and select the cash account where the full amount of the guarantee will be debited from. This cash will be used to secure the guarantee. Once the guarantee is discharged, the full amount, minus any claims and charges (if any) , will be returned to you.

BG/SBLC can be required in various situations. Some common uses are as follows: 

• Payment Guarantee
  Protects the beneficiary if the applicant fails to honour the payment under their contract. 
• Bid Bond
  Bid bond provides assurance to the beneficiary that the bidder will honour the bid and enter into the contract if awarded.  
• Performance Bond
  This guarantees that the applicant will perform according to the contract obligations  

Your guarantee will be discharged only after it’s claim expiry date. This date may be the same as the guarantee expiry date, or it may include an additional claim period, as stipulated in the guarantee, during which the beneficiary may submit a valid claim. Discharge is typically effected after a certain period following the claim expiry date, to allow sufficient time for the bank to confirm that no claims have been received. If the discharge date falls on a non business day, processing will take place on the next working day.

• Expiry date refers to the date specified in the guarantee on or before which a claim or demand may be made.
• Claim expiry date refers to the end of the claim period, being a specified duration on or after the expiry date during which the beneficiary may still submit a valid claim to the bank.
• Where no claim period or claim expiry date is expressly stated in the guarantee format, the claim expiry date shall be the same as the expiry date of the BG.
• Please note that under the ABS Byelaws, where the beneficiary is located in Singapore, the claim period must not exceed three (3) months after the expiry date of the BG.

Yes. A BG or SBLC may be discharged before its expiry date, subject to confirmation from the beneficiary that the guarantee is no longer required. The discharge process differs depending on the type of guarantee issued:

For physical BG / SBLC
The beneficiary is required to issue a written discharge letter confirming the early release of the guarantee. This letter must be submitted to the bank via the Trade Counters. 

The return of the original guarantee document may also be required for an effective discharge.

For eGuarantee (DBS Singapore only) 
The beneficiary must submit an early discharge request electronically via the Networked Trade Platform (NTP). Upon receipt of a complete early discharge dataset, the bank will process the request and notify you once the liability under the eGuarantee has been fully discharged.

• You may submit an amendment request through IDEAL Trade Finance or by using the Smart Form, which must be submitted to our Trade Counter. Once the request is received, the bank will review and process the amendment.
• Please note that for certain types of amendments — such as a reduction in guarantee amount, shortening of validity period, or change in applicant name — the beneficiary’s acceptance is required. The amendment will only take effect after the beneficiary’s acknowledgement has been received by the bank.