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Bank guarantee (See Chapter 27 of the Vernimmen)
A bank guarantee is a bank's commitment to advance funds to a third party should the bank’s client default on the guaranteed obligations. The three main types of bank guarantees are documentary credit, customs guarantees and buyer's credit.
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Definitions of terms begining
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Bank guarantee (See Chapter 27 of the Vernimmen)
A bank guarantee is a bank's commitment to advance funds to a third party should the bank’s client default on the guaranteed obligations. The three main types of bank guarantees are documentary credit, customs guarantees and buyer's credit.
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