Letters of Guarantee
The L/G issued by Kuwait Finance House shall cover the bank’s approval to pay the other party (beneficiary) if the bank’s customer (agent or applicant) delays payment of his debts or fulfilling obligations to the beneficiary.
- Performance Guarantee.
- Down payment or purchase guarantee.
- Retention or maintenance guarantee.
- Other guarantee.
- Service Requirements
1- Customer shall fill in issuance request form signed by authorized signatories in addition signing the reservation memorandum.
2- Customer shall present all company related documents.
3- Coverage shall be 100% against cash guarantee or 105 against deposit guarantee or 110% for issuance of a letter of guarantee in foreign currency against deposit guarantee.
4- In case a third party exists a (No Objection) letter shall be submitted.
5- In case customer has credit facilities the L/G shall be issued against granted credit facilities subject to obtaining the required credit approval.
The customer may request the service from any branch and receive it on the same day.
Commissions are charged according to credit approval and determined ratios.