The Bank Guarantee Letter of Credit is a crucial document in international trade finance, particularly within the Saudi Arabian context where it must comply with both international banking standards and Islamic law. This document is typically used when a buyer needs to provide security to a seller in an international transaction, with a bank guaranteeing payment upon presentation of specified documents. The document must conform to Saudi Arabia's Banking Control Law, SAMA regulations, and Shariah principles, while often incorporating UCP 600 guidelines. It includes specific details about the transaction, parties involved, payment terms, and document requirements. The Bank Guarantee Letter of Credit is particularly important in Saudi Arabia's business environment, where it facilitates secure international trade while ensuring compliance with local legal and religious requirements.
Your data doesn't train Genie's AI
You keep IP ownership of your information
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
OR
Let Genie AI's market-leading legal AI identify missing terms, unusual language, compliance issues and more - in just seconds.
1. Letter Reference Number and Date: Unique identifier for the LC and issuance date
2. Bank Details: Full details of the issuing bank including address and SWIFT code
3. Applicant Details: Complete information about the party requesting the LC
4. Beneficiary Details: Complete information about the party in whose favor the LC is issued
5. Credit Amount and Currency: Specific amount and currency of the LC
6. Type of Credit: Specification of whether irrevocable, confirmed, transferable, etc.
7. Expiry Date and Place: Clear statement of when and where the LC expires
8. Payment Terms: Specific conditions and timing of payment
9. Required Documents: Detailed list of documents required for presentation
10. Goods/Services Description: Detailed description of the underlying transaction
11. Shipment Terms: If applicable, shipping details including latest shipment date
12. Governing Law Statement: Reference to Saudi law and Shariah compliance
13. Authentication: Bank's authorized signatures and authentication details
1. Confirmation Instructions: Include when confirmation from another bank is required
2. Transferability Clause: Include when the LC needs to be transferable to another beneficiary
3. Revolving Credit Terms: Include for LCs that automatically renew under specified conditions
4. Red Clause: Include when advance payment to beneficiary is permitted
5. Green Clause: Include when storage of goods is involved with advance payment
6. Partial Shipment/Drawing Terms: Include when partial shipments or drawings are allowed
7. Tolerance Clause: Include when quantity/amount variations are acceptable
1. Schedule A - Document Requirements: Detailed checklist of required documents and their specifications
2. Schedule B - Payment Schedule: If applicable, breakdown of payment terms and installments
3. Schedule C - Goods Specification: Detailed technical specifications of goods/services covered
4. Appendix 1 - SAMA Compliance Declaration: Standard declaration confirming compliance with SAMA regulations
5. Appendix 2 - Shariah Compliance Certificate: Confirmation of compliance with Islamic banking principles
6. Appendix 3 - Bank's Standard Terms: Standard terms and conditions of the issuing bank for LCs
Authors
Relevant legal definitions
Clauses
Relevant Industries
Banking and Financial Services
International Trade
Manufacturing
Oil and Gas
Construction
Retail
Agriculture
Mining
Telecommunications
Pharmaceuticals
Automotive
Energy
Textiles
Technology
Industrial Equipment
Relevant Teams
Legal
Finance
Treasury
International Trade
Risk Management
Compliance
Corporate Banking
Trade Finance
Documentary Credits
Banking Operations
Relevant Roles
Trade Finance Manager
International Banking Officer
Compliance Officer
Shariah Compliance Manager
Documentary Credits Specialist
Import/Export Manager
Treasury Manager
Risk Management Officer
Corporate Banking Manager
Chief Financial Officer
Finance Director
International Trade Specialist
Banking Operations Manager
Legal Counsel
Credit Risk Officer
Find the exact document you need
Foreign Bank Guarantee
A Shariah-compliant bank guarantee issued by a foreign bank under Saudi Arabian law, securing obligations to a Saudi beneficiary.
find out more
Bank Guarantee Confirmation Letter
A Saudi Arabian banking document confirming the validity and enforceability of a bank guarantee, issued under Saudi law and SAMA regulations.
find out more
Bank Guarantee Return Letter
A formal request document used in Saudi Arabia to obtain the return of a bank guarantee from a financial institution after fulfillment of underlying obligations.
find out more
International Bank Guarantee
Template for International Bank Guarantees under Saudi Arabian law, compliant with SAMA regulations and Shariah principles.
find out more
Cheque Guarantee Letter
A bank-issued guarantee document under Saudi Arabian law that ensures payment of specified cheque(s) to a beneficiary, subject to Saudi banking regulations and Shariah compliance.
find out more
Bank Guarantee For Purchase Of Goods
A Shariah-compliant bank guarantee under Saudi Arabian law securing payment obligations for goods purchase, providing financial security to sellers against buyer default.
find out more
Letter Of Guarantee For Loan
A Sharia-compliant bank guarantee document under Saudi Arabian law that ensures payment to a beneficiary in case of default by a principal debtor.
find out more
Commercial Standby Letter Of Credit
A Saudi Arabian banking instrument providing financial guarantee in commercial transactions, governed by SAMA regulations and international banking practices.
find out more
Guarantee Cheque Against Advance Payment
A Saudi Arabian law-governed document establishing terms for a guarantee cheque provided as security against an advance payment, including enforcement rights and banking regulations compliance.
find out more
Bank Transfer Guarantee
A Saudi Arabian banking instrument where a bank guarantees payment to a beneficiary under specified conditions, compliant with Islamic banking principles and local regulations.
find out more
Corporate Guarantee And Bank Guarantee
Template for Corporate and Bank Guarantees under Saudi Arabian law, compliant with Shariah principles and SAMA regulations.
find out more
Business Bank Guarantee
A Saudi Arabian law-governed bank guarantee document providing financial security from a bank to a beneficiary, complying with SAMA regulations and Shariah principles.
find out more
Open Bank Guarantee
A Saudi Arabian law-governed bank guarantee document establishing an unconditional payment obligation from a bank to a beneficiary, compliant with Islamic finance principles.
find out more
Bank Guarantee And Performance Guarantee
A Sharia-compliant bank and performance guarantee document under Saudi Arabian law, providing financial security and performance assurance in commercial transactions.
find out more
Personal Banker's Guarantee
A Sharia-compliant banker's guarantee document under Saudi Arabian law, representing a bank's commitment to pay a specified sum on behalf of a principal debtor.
find out more
Letter Of Credit Guarantee
A Saudi Arabian banking instrument guaranteeing payment under a Letter of Credit, compliant with local laws and Shariah principles.
find out more
Government Deposit Guarantee
A Saudi Arabian law-governed agreement establishing government guarantees for deposits in licensed financial institutions, incorporating both conventional and Islamic banking principles.
find out more
Original Bank Guarantee
A Shariah-compliant bank guarantee document under Saudi Arabian law, providing financial security through an irrevocable undertaking from a bank to pay a specified sum upon demand.
find out more
Performance Guarantee In Tender
A bank-issued guarantee document under Saudi Arabian law that secures a bidder's obligations in a tender process.
find out more
Construction Bank Guarantee
A Sharia-compliant bank guarantee document under Saudi Arabian law that secures construction project obligations through a bank's financial commitment.
find out more
Bank Guarantee Renewal Letter
A formal letter issued under Saudi Arabian law to extend the validity period of an existing bank guarantee, complying with both SAMA requirements and Shariah principles.
find out more
Down Payment Bank Guarantee
A Saudi Arabian bank guarantee securing the repayment of advance payments in commercial transactions, issued under SAMA regulations and Shariah law.
find out more
Financial Bank Guarantee
A Shariah-compliant bank guarantee document under Saudi Arabian law where a bank guarantees payment to a beneficiary upon specified conditions.
find out more
Indirect Bank Guarantee
Template for Indirect Bank Guarantee under Saudi Arabian law, compliant with SAMA regulations and Sharia principles, for use in international trade and commercial transactions.
find out more
Bank Guarantee For Deposit
A Saudi Arabian law-governed bank guarantee document where a bank guarantees payment of a deposit amount to a beneficiary, complying with SAMA regulations and Sharia principles.
find out more
Standby Letter Of Credit For Lease
A Saudi Arabian banking instrument that provides landlords with a Shariah-compliant guarantee for lease payments, ensuring financial security in case of tenant default.
find out more
Bank To Bank Guarantee
A Saudi Arabian-compliant financial instrument where one bank guarantees obligations to another bank, incorporating SAMA regulations and Shariah principles.
find out more
Bank Guarantee First Demand
A Sharia-compliant First Demand Bank Guarantee under Saudi Arabian law, providing immediate payment upon valid demand without proof of default.
find out more
Advance Bank Guarantee
A Shariah-compliant bank guarantee document under Saudi Arabian law, securing advance payments in commercial contracts through a bank's unconditional payment undertaking.
find out more
Unlimited Bank Guarantee
A Shariah-compliant unlimited bank guarantee under Saudi Arabian law, providing unconditional security for commercial obligations without monetary limit.
find out more
Standby Bank Guarantee
A Saudi law-compliant bank guarantee document representing a bank's irrevocable commitment to pay a specified sum upon demand, structured according to SAMA regulations and Sharia principles.
find out more
Financial Guarantee And Performance Guarantee
A Saudi Arabian law-governed document combining financial and performance guarantees, ensuring both monetary and operational obligations while maintaining Shariah compliance.
find out more
Bank Guarantee For Tender
A Saudi Arabia-governed bank guarantee document where a bank guarantees payment to a beneficiary if a tender participant fails to meet their tender obligations, compliant with Saudi law and Sharia principles.
find out more
Non Financial Guarantee
A Saudi Arabian law-governed guarantee agreement ensuring the non-financial obligations or performance of one party to another, structured in compliance with Sharia principles.
find out more
Digital Bank Guarantee
A digitally-issued bank guarantee under Saudi Arabian law, providing financial security through electronic channels while maintaining Shariah compliance.
find out more
Drawdown Bank Guarantee
A Sharia-compliant Drawdown Bank Guarantee template under Saudi Arabian law, establishing terms for bank guarantees and drawdown mechanisms in accordance with SAMA regulations.
find out more
Bank Guarantee Irrevocable
A Saudi Arabian law-governed irrevocable bank guarantee document providing unconditional payment undertaking from a bank to a beneficiary, compliant with SAMA regulations and Sharia principles.
find out more
Bank Guarantee Letter Of Credit
A Shariah-compliant bank guarantee letter of credit document under Saudi Arabian law, providing secure payment commitment in international trade transactions.
find out more
Trade Finance Bank Guarantee
A Sharia-compliant bank guarantee document under Saudi Arabian law that secures payment or performance obligations in international trade transactions.
find out more
Bank Assurance Letter
A Saudi Arabian bank-issued guarantee document that provides financial assurance to a beneficiary under SAMA regulations and Shariah law.
find out more
ұԾ’s Security Promise
Genie is the safest place to draft. Here’s how we prioritise your privacy and security.
Your documents are private:
We do not train on your data; ұԾ’s AI improves independently
All data stored on Genie is private to your organisation
Your documents are protected:
Your documents are protected by ultra-secure 256-bit encryption
We are ISO27001 certified, so your data is secure
Organizational security:
You retain IP ownership of your documents and their information
You have full control over your data and who gets to see it
.png)