While dealing with large vendors for the purchase of bulk commodities, the suppliers will demand the buyers to provide Bank Guarantees. This is to show the buyer’s commitment in making the payment without any default. Are you planning to deal with overseas suppliers for your import and export requirements? Is your supplier demanding a Guarantee from you? Now getting Bank Guarantees is very simple and easy with the help of Bronze Wing Trading, the Bank Guarantee Providers in Dubai. Recently, a client named Mr. Mathew Seth contacted us with their BG request to import cars from Germany. Continue reading this blog to know how BWT served the BG requirements of the client. The Importance of Bank Guarantees
Bank Guarantees acts as the written assurance given by the bank on behalf of buyers to ensure the suppliers that in case of any default in complying with the payment terms; the banks will take the action to make the payment towards the supplier on behalf of the buyer. Since the banks gives the assurance for the payment, there is no chance for the supplier to bear any default in payment. This is the reason why BG MT760s are considered as an important instrument in international trade. As having BG MT760 shows the buyer’s credibility, suppliers wish to work with buyers who are capable to provide MT760 Guarantee. Our Success in Issuing MT760 Guarantee A client from Italy decided to import cars from Germany for their new automobile showroom. As it was an overseas trade transaction, the seller and the buyer decided to use MT760 Guarantee to secure their trade transaction. When the buyer contacted their bank to avail MT760, they asked for collateral or a 100% margin of the guarantee required. In the COVID-19 situation, the client’s business was affected a lot and they were in severe cash flow issues. So, they were unable to comply with the banks demand. And then, with the help of their marketing team, they started searching for other options to get MT760. Via referral, the client came to know about BW Trade Finance and contacted us with their BG request. After the receipt of their BG request, we analyzed and approved their deal. Once the client signed the service agreement and paid the admin charges, our team started structuring the transaction & blocked our limit as per the value of the guarantee required. We sent the BG draft for the client’s approval. After receiving the draft approval and BG issuance fee charges from the client, we instructed our bank to issue the required MT760 to the supplier's account on behalf of the buyer. This is how we issued the required Guarantee on behalf of the buyer successfully without availing any collateral. How to Apply for Bank Guarantee Letter? If you’re in need of a Bank Guarantee Letter for your import, export needs, all you need to do is – submit your requirements to us! Our team will go through your request and come up with the right solution that meets all your needs! Apply now and avail Bank Guarantees within 48hrs! Comments are closed.
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