Home/Knowledge Base/Bank Guarantee (International)
International TradeID: kb-trd-011

Bank Guarantee (International)

Guarantee from a lending institution ensuring liabilities will be met.

Added: November 18, 2025
Applicable: Universal

Detailed Explanation

A Bank Guarantee is a promise from a bank that a debtor's liabilities will be met. In international trade, it assures the seller that if the buyer fails to pay, the bank will cover the debt. It can also be used to guarantee performance of a contract.

Tags

#finance#security#risk management#banking

Applicable Countries