Standby Letters Of Credit (SBLC)

Contact

standby Letters of Credit (SBLC)

STANDBY LETTERS OF CREDIT are often used to provide security for an obligation, such as a lease or other long-term contract. Landlords may require a deposit or a standby letter of credit that guarantees payment from the issuing bank if a tenant falls in arrears. Often, large contracts may require at least one of the parties to have a standby letter of credit in place for the transaction to move forward.

Basically, a standby letter of credit guarantees the beneficiary that it will be paid from a creditworthy bank if it's unable to get paid by its counterparty in a transaction. Accordingly, these standby letters of credit allow for complex and high-risk transactions to proceed which would otherwise have been stifled by a lack of funds, asymmetric risks or a lack of faith in the transacting parties. Globalist provides standby letters of credit, allowing transactions to happen that otherwise might be considered too risky by the receiving entity.

We make trade possible.
We provide the personalized service you deserve.
We take the time to understand your business.
We help you navigate business risks.