Bank guarantees
A bank guarantee is a guarantee of your contractual obligations in respect of foreign partners with regard to delivery, payment of goods, return of advance etc.
Nordea Bank payment guarantees are immediately recognised by the majority of large foreign exporters. If required, financing can be secured by a standby letter of credit confirmed by a first-class foreign bank.
Contract VAT and customs duties can, if needed, be financed by the bank with the credit line opened for your business.
We also offer Nordea Bank guarantees on behalf of customs agencies to pay customs duties and fees.
Advantages of bank guarantees:
- The cost of servicing guarantees is significantly less than the cost of bank lending
- You can independently plan purchases and payment with suppliers, provided your liabilities do not exceed the value of the bank guarantee
- The expansion of your company’s foreign trade operations opens new international markets and enlarges your circle of foreign partners
- Improve your reputation as a reliable partner by using guarantees to demonstrate your ability to meet payments
- Bank guarantees provide favourable conditions on which to work with your suppliers — receive or extend payment deferments from manufacturers, increase the procurement volume of goods and receive additional discounts for purchased products.