Navigating the World of Bank Guarantees: A Primer

Bank Guarantees

Sl.No	Parameter	Particulars
1	Type of credit facility offered	Bank Guarantee (BG)
2	Nature of Bank Guarantee credit facilities offered	Domestic Bank Guarantee
3	Types of Bank Guarantee credit facilities offered	Performance Guarantee Financial Guarantee Advance Payment Guarantee Continuing Guarantee Guarantee for specific transactions Deferred Payment Guarantee
4	Cash Margin	Minimum 15.00% in lien marked term deposits
5	Collateral Security	Minimum 150.00% of the BG limit quantum
6	Counter Guarantee	Counter Guarantee is to be obtained from the customer on whose behalf BG is issued and also the person who has offered collateral security
7	Commission & charges	As per internal guidelines issued from time to time