Documentary operations

General information

Kapital Bank provides guarantees and letters of credit in both national and foreign currency to ensure the compliance with your obligations before third parties in order to improve your business, provide access to new markets owing to the existing and new counterparties both inside and outside the country.

Important to know

 Requirements for borrowers:

  • Customers shall be individual entrepreneurs or legal entities;
  • They shall operate in current business at least 6 months;
  • Their business shall be profitable.

Guarantees

Bank guarantees allow You to increase business volume and create new opportunities by launching new projects, building partnerships with the existing and new counterparties in national and international markets.

 

Advantages for Principal Customer:

  • Opportunity to launch new projects by getting advance payment by the customer without using additional financial resources from business or other sources;
  • Opportunity to get trade loans from counterparties on the basis of bank guarantees;
  • To increase the turnover through much cheaper and more affordable financial resources;
  • To minimize the risk of non-compliance with contractual obligations;
  • To make payments only for products and services that have already been shipped and received, and sometimes already sold and paid.

 

Advantages for Beneficiary Customer:

  • To minimize risks associated with non-compliance with contractual obligations as a result of worsening of the financial state of the receiver;
  • Cash receipt by a quick and simple way in the event of a breach of contractual obligations by the receiver.

 

Advantages of using Kapital Bank Guarantee products:

  • Distinct acceptance of guarantee letters of Kapital Bank by all beneficiaries;
  • Granting of guarantees within 1 business day;
  • Granting of all types of Bank Guarantees;
  • Granting of guarantees by the approval of the World`s 1st Class Banks;
  • Granting of guarantees for regular customers without additional documentation within the limits based on the General Agreement;
  • Determination of the terms of granting Bank Guarantees individually for each customer;
  • The value of the guarantee is significantly lower than the cost of used loans;
  • Unsecured granting (if the customer has a satisfactory financial state);
  • Minimum documents.

 

 Types of bank guarantees:

  • Tender guarantee
  • Advance guarantee
  • Execution Guarantee
  • Payment guarantee
  • Guarantee granted to customs authorities
  • Guarantee granted to get a loan
  • International guarantees

 

Guarantee services for exporter companies, which are customers of the Bank:

  • Advising of guarantees granted in favor of you by the other (domestic and foreign) banks;
  • Issuance of letters of guarantee based on counter-guarantees granted by other (domestic and foreign) banks;
  • Sending requests to guarantor banks on guarantees granted in favor of you.

 

Procedure for getting guarantees:

  1. You apply to any branch of Kapital Bank nearest to you;
  2. You provide the necessary documentation for the analysis, your business is analyzed by the experts of the Bank and the Bank makes a decision on a loan issue;
  3. Agreements are formalized;
  4. You have issued a letter of guarantee.


Online order for Guarantee

 

Letters of Credit

The Letter of Credit is a unique banking product that protects the interests of both parties and defend them against risks at the same time in making settlements within the framework of agreements concluded in international trade.

 Advantages for importers:

  • They are free from risk, such as paying, but not receiving goods/services;
  • The accuracy of the documents is checked by several banks;
  • Delays are not permitted.

 

Advantages for exporters:

  • Minimizes the risk, such as shipping goods/services, but not receiving the payment;
  • Delays in receipt of the money are not permitted, the value of the goods is paid in the term specified in the terms and conditions of the letter of credit;
  • Minimizes the risks arising from the newly established relationships with the customer.

 

Advantages of using Kapital Bank Letter of Credit products:

  • Granting of Letters of Credit by the approval of the World`s 1st Class Banks;
  • Granting of all types of Letters of Credit;
  • Giving additional time with more favorable terms in making payments through post-financing;
  • Granting of Letters of Credit regularly without additional documentation within the limits based on the General Agreement;
  • Determination of the terms of granting Letters of Credit individually for each customer;
  • The value of the Letters of Credit is significantly lower than the cost of used loans;
  • Unsecured granting (if the customer has a satisfactory financial state);
  • Minimum documents.

 

Types of Letters of Credit:

  • Irrevocable Letter of Credit;
  • Certified Letter of Credit;;
  • Transferable Letter of Credit;
  • Revolving Letter of Credit;;
  • Standby Letter of Credit.

 

Procedure for granting Letter of Credits:

  1. You apply to any branch of Kapital Bank nearest to you;
  2. You provide the necessary documentation for the analysis, your business is analyzed by the experts of the Bank and the Bank makes a decision on a loan issue (individual approach)
  3. Agreements are formalized;
  4. You are granted a Letter of Credit.


Online order for Letter of credit

 

Encashment Operations

Kapital Bank also provides encashment services and, upon instruction of the exporter, undertakes to collect payments for goods based on the relevant settlement, commodity and financial documents in order to ensure the execution of such services. Documentary collection allows the customer to make reliable and fast settlements.

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