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Bank Guarantee

Bank Guarantee

The Bank as a guarantor  of your liabilities

By providing this type of service the Bank guarantees performance of your obligations, which raises the confidence of your partner for you; in case you fail to perform your obligations, "ID Bank" will pay the sum specified in the Guarantee Agreement to the beneficiary, upon its first demand. The service is provided on beneficial terms, so far as the rates for bank guarantee are much lower than the rates for loans. The guarantee provided by "ID Bank" CJSC is the insurance of successful completion of your deal. 

 

Rates

Types of guarantees

Providing guarantee

Secured with funds 3

Secured with other assets

Bid bond

a ) for up to 20 million Armenian drams

0.5% lump sum, minimum 15 000 Armenian drams

1% lump sum, minimum 30 000 Armenian drams

b) for the amount above  20 million Armenian drams

Negotiable

Other types of guarantee

a) up to 12 month maturity

0.5% lump sum, minimum 15 000 Armenian drams

1․5% lump sum, minimum 30 000 Armenian drams

b) above 12 month maturity

1% annual,  minimum 15,000 Armenian drams per annum

2% annually, minimum 30,000 Armenian drams per annum

Confirmation/ providing guarantee by the intermediate Bank

Negotiable

Amendments or cancellation of the terms of guarantee

25 000 Armenian drams

In case of increase of the guarantee amount or extension of the guarantee validity period, an additional guarantee issuance fee shall be charged pro rata the increased amount/extended period.

Payment on demand under the guarantee

0,15% minimum 50 000 Armenian drams

Guarantees received from other banks

Advising of guarantee, including  advising of  each  amendment of guarantee

25 000 Armenian drams

Providing a guarantee for the counter guarantee of another bank

Negotiable

Drawing a claim under the guarantee

50 000 Armenian drams


1 The given rates are applicable to the Standby LCs. 
2 Commissions of other banks, postal/communication costs are charged as per actual amount. 
A fee will be charged in case the cash collateral deposited with the bank is replaced with other collateral. The fee will constitute the difference between the fee already charged for the issued guarantee and the fee for the guarantee secured by other assets

The page was updated 31.05.2018 10:58
Attention: The Bank does not bear any responsibility for the inaccuracy of information on the linked web sites, nor does it accept any responsibility for the advertisements therein or possible consequences arising out of use of information provided on the linked web-sites. In case of any discrepancies in the website materials in Armenian, Russian and English languages, the Armenian version is prevailing.