Financing Standby Letters of Credit

INTRODUCTION

A Financing Standby Letters of Credit is a written document issued by Bank of China U.S.A. at the request of the borrower to the lender, guaranteeing that the borrower will fulfill their obligation to repay the borrowed funds. These include Loan Standby Letters of Credit, Overdraft Standby Letters of Credit, Securities Issuance Standby Letters of Credit, and Credit Line Standby Letters of Credit.

FEATURES & BENEFITS

Act as a guarantor: Bank of China U.S.A. acts as a guarantor to ensure a smooth transaction
Finance facilitation: Enhances borrower's creditworthiness and facilitates its financing.
Lowers cost: Lowers financing costs
Reduces contract breaches: Reduces the likelihood of contract breaches by indemnifying the damaged party and penalizing the defaulting party