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Financing services of Promsvyazbank (CJSC) rendered to its customers-exporters in order to comply with its obligations under international trade agreements comprise the following products: -Forfeiting; Advance Payment Guarantee. Advance payment guarantee means an undertaking issued by the guarantor bank at the request of the Goods / services supplier (the principal) in favor of the purchaser or the customer (beneficiary), pursuant to which the guarantor undertakes to make payment to the beneficiary within the guarantee limit, should the principal fail to perform its obligations between the principal and the beneficiary under the terms of the Agreement. Performance Bond. The proper performance bond must ensure timely delivery and provision of services in strict conformity with the Agreement. Bid Bond is applied in connection with international bids, when bidders are required to provide a banking guarantee together with their bids. A bid bond must cover expenses, which the bid initiator incurs, should the company that has won the bid refuse to sign and execute the agreement, which results in the necessity to rehold the entire tender. |
