Many of our clients wish to purchase Bank Guarantees for Monetization. It is CRITICAL you get this right, there are some big traps uninformed customers fall into that cost them a lot of money or the whole deal. Work with us and we can help you avoid these nasty pitfalls and get your BG issued and monetized seamlessly.

Mistake 1: Buying a BG that is Neutered - Some sneaky companies issue neutered BG’s. That is a BG that can only be used for credit enhancement on a companies books but can never be monetized or traded. It’s a nasty surprise you get when you realize your pristine BG delivered by MT760 to a Monetizer is……. useless!

Mistake 2:  Buying a BG that is Leased –  Leased BG’s cannot be monetized, they are banned industry wide. If you buy a BG that is Leased or has the word “leased” on it. You have a worthless piece of paper you can’t use! We offer you “unrestricted beneficiary ownership of the BG for a 12 month term” this gives you full monetization capability at the price of a lease.

Mistake 3: Procedures DON’T Match – If the delivery procedures of the BG issuer don’t exactly match with the BG Monetizer you will never get the BG delivered because the two parties are incompatible with each other. Both parties end up blaming one another and no deal ever gets done.

Mistake 4: The No Bank Play – When your BG issuers contract with you includes them sending a MT999 or MT799 from a non bank entity to the monetizers bank entity. You’ve been screwed. Banks will not reply or communicate with Non Banks or private companies. Therefore a message sent from a non bank to a bank is ignored! The issuer then claims they delivered service and keeps your money and the monetizer claims you never communicated with them on a bank to bank basis.

Mistake 5: No CUSIP or ISIN Number – Some monetizers will only accept Bank Guarantees with CUSIP or ISIN Numbers. This means they will NOT accept a fresh cut bank guarantee, ONLY seasoned instruments. Seasoned BG’s cost more and generally are only available to be purchased from secondary owners not banks.

The value of working with Creditex Brokerage Holdco is you get our expertise for FREE and that is invaluable when you want to complete a drama free, successful transaction. If your not a financial instruments expert, use one!

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CRITICAL – You MUST have Proof of Funds to be able to Buy a Bank Guarantee.

NO Bank Guarantee Provider will issue a Contract without seeing you have the Capability to Close the Transaction. If you CANNOT supply us with a Bank Statement no older than 3 days demonstrating you have the ability to complete the Bank Guarantee Purchase, please DON’T contact us.

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a) Clients Bank sends RWA or MT-799

b) BG Issuer responds with MT-799 and BG Pay Order Confirmation

c) BG Issuer delivers Bank Guarantee by MT-760

d) Client pays BG Issuer after BG Verification and Authentication within 12 Days

The issuance of a bank guarantee is a private transaction and does not result in the issuance of any publicly tradable instrument. Bank guarantees are not trading securities, trading debt instruments, or trading investment funds. There is no public market for the trading of bank guarantees.

Brokers Fees: We Always Protect Brokers! Brokers can either add a +1% to the costs above or have the client sign a separate FPA (Fee Protection Agreement) with then confirming a separate payment to the broker. We would recommend the FPA as this gives you direct protection with your client.

5/ #1 BANK GUARANTEE PROGRAM – HIGHLY RECOMENDED- MUST READ!

CBH Bank Guarantee Project Overview

Disclaimer Notice
The information on this site is intended solely for the benefit of firms and individuals seeking to be connected with various funding and monetization sources. The material on this site lists possible service features and / or sample institutions for informational purposes only, are not guaranteed and subject to change and does not constitute an offer or solicitation to purchase any investment solutions or a recommendation to buy or sell a securities nor is it to be construed as investment advice. The services featured on this Web site may not be available in all jurisdictions or to all persons/entities. By accessing this Web site users acknowledge that Creditex Brokerage Holdco is solely a Deals Facilitation Service that works intimately with clients to assist them to implement a range of appropriate Solutions directly with professional service providers. Our role is to connect people, assist in the removal of deal barriers and peer the right service provider with the right client so customers can achieve a likely successful conclusion. We are NOT a Broker, Finance Company, Financial Advisor or Licensed in any way. The contemplated transaction(s) of our Clients are strictly private and in no way relates to the United States securities act of 1933 (THE”ACT”) or related regulations and does not involve the sale of registered securities. These transaction(s) are therefore private and exempt from the act. Please be aware that any disclosure, photo copying, distribution or use of the contents of this information is prohibited.