Dinar and Foreign Currency Guarantees

At the clients’ order, Komercijalna Banka a.d. issues banking guarantees by which the Bank, as the guarantor, undertakes the irrevocable committment to pay, at the request of the third party, i.e., guarantee beneficiary, the determined amount to the guarantee beneficiary, after the conditions stipulated in the relevant guarantee have been fulfilled, and as the compensation for uneffected payment or default made by its client for account of which the Bank acts. Komercijalna Banka a.d., at the request of its client, issues all types of dinar and foreign currency payment and performance guarantees (guarantees for due repayment of loan, guarantee for securing the payment, guarantee for participation on bids, auctions, or tenders, preformance guarantees, advance payment returns guarantee, guarantee for guarantee deposit returns, leasing arrangements guarantee , guarantee for securing customs collection and other import taxes). Banking guarantees as security instruments have a range of advantages both for the  guarantee beneficiary and for the orderer, one of them certainly being the security.