dbs-bankers-guarantee

Banker’s Guarantee / Standby Letter of Credit

Provide assurance and peace of mind to your beneficiaries

At a Glance
Reassure your buyers or sellers of payment no matter what happens.
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An independent undertaking

Banker’s Guarantees are independent undertakings which help to mitigate payment risks for the beneficiary
Simply submit your application form at one of our Trade Collection Branches or SME Banking Centres. Alternatively, you can apply via DBS IDEAL.

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Added assurance

We will pay to your beneficiaries upon receipt of a claim that complies with the terms of the guarantee

Features & Benefits
Uses of Banker's Guarantee / Standby Letter of Credit
  • Payment Guarantee
    Protects the beneficiary if the applicant fails to honour the payment under their contract.
  • Bid Bond
    Enables the applicant (bidder) to use DBS credit to support the bid. Can also be used to assure the successful bidder that the contract will be met.
  • Performance Bond
    Some bidding contracts require the successful bidder to provide a performance guarantee to protect against a default.
  • Financial Guarantee
    This helps the applicant’s overseas subsidiaries obtain financing or credit facilities from banks.
Conditions of Guarantee
  • Can be issued by DBS Hong Kong or our overseas branches/correspondents, according to the guarantee format provided by the applicant.

  • Guarantees issued in favour of beneficiaries must be for a specific amount, expiry date, and claim period.

  • Guarantees should not be assigned to other parties.

  • Guarantees are subject to Hong Kong law and the jurisdiction of the Hong Kong courts.
How it Works

How to Apply

If you have a trade credit facility with us:

FAQs
When do I apply for a Banker’s Guarantee or a Standby Letter of Credit?

The beneficiary will specify what to apply for.

How do I complete the application form?

Please call us at 2290 8068 for assistance.

Where do I find the application format?

The format is usually provided by the beneficiary, so please ask them for a copy.

Where do I collect my Banker’s Guarantee/SBLC?

Our trade operations officer will contact you to arrange your preferred collection point.