26 December 2011
Brief about the firm:- I am running a Proprietorship Firm, nature of business is Investment and Trading in Equity, Shares and Derivatives (F&O, Currency Futures and Commodity Futures). Firm is taking loan from the lenders and utilizing that capital for trading. We want to give Bank guarantee for the loan amount. Firm is new startup. My proposal to bank for bank guarantee is 50% margin amount. 1. When put up the proposal the bank the proposal should be accepted by the Bank. 2. In what way I must propose to the Bank for the Bank Guarantee. 3. What are the procedures/Policies adopted by the Bank for the Bank Guarantee. 4. What are all the riders for the Bank Guarantee? 5. Are guarantors required for this type of proposal?
27 December 2011
AS YOURS IS NEW FIRM,BANK WILL ASK FOR CASH DEPOSIT OF 50% MARGIN.YOU HAVE TO APPLY THE BRANCH WHERE YOU ARE MAINTAINING YOU C/A. BANK WILL ASK FOR THE FORMAT IN WHICH YOU REQUIRE THE BG.AFTER STUDYING THE CLAUSES IN THE DRAFT,THE BANK WILL TELL YOU WHAT TO DO NEXT. BANK GUARANTEE IS LIKE CASH.IF YOU BREACH ANY OF CONDITIONS IN BG,THE BENEFICIARY WILL SEND THE BG TO THE BANK AND GET HIS MONEY TO THE EXTENT OF AMOUNT GUARANTEED. GUARANTORS ARE NOT REQUIRED.
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