LEASED bank instruments procedures
LEASED bank instruments procedures, terms and conditions etc.
About Leasing BG/SBLC:
- Verbiage: ICC 458/758 or latest format
- Delivery: MT799, 760, & Hard Copy
- Fee Payment: 4% + 2%
- Payment of transmission fee within 3 days after signing DOA.
- Payment of Leasing Fee & Commission: Within 21 days after receiving BG/SBLC
LEASED bank instruments procedures:
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Deed of Agreement (DOA) signing by both parties
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Lessor issue invoice & Notarized “Corporate Refund Recourse Undertaking” for Lessee to pay bank transmission fee
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Lessee will send “Bank transmission charges” (* Within 3 days after receiving invoice)
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Lessor delivers “MT799/760 & Hardcopy”
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Lessee pays “Leasing Fee & Commission(* 2%)” (* Within 21 days)
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Description of Instruments:
1. Instrument: Fully Cash Backed Bank Guarantee {BG} / StandBy Letter of Credit {SBLC} (ICC 458/758 format)
2. Total Face Value: Eur/USD 1Million (Min) to Eur/USD 50 Billion (Max)
3. Issuing Bank: HSBC London/Hong Kong, Barclays Bank London, Citibank New York, Deutsche Bank Germany or any AAA Rated Bank.
4. Age: One Year and One Day (with rolls and extensions where applicable)
5. Leasing Price: 4% of Face Value plus 2% brokers commission (Applicable only if there are brokers in the transaction)
6. Delivery: SWIFT MT-760
7. Payment: MT103 Wire Transfer
8. Hard Copy: Bonded Courier within 7 banking days.
9. Bank Transmission Fee: DEPENDS ON THE FACE VALUE OF THE INSTRUMENT.