Bank Guarantees and Letters of Credits

Course details

Objectives :

• Provide participants with the general concepts related to letters of guarantee, guarantees and banking applications process necessary in the work of letters of guarantee.

Contents :

• The definition of sponsorship by the Jordanian Civil Code (Article 950).
• Description of contract letter of guarantee (binding or non-binding).
• The legitimacy of the letter of guarantee (to ensure that the legitimate rooting).
• Ruling commission met in terms of legitimacy.
• The difference between the bank guarantee and letter of guarantee.
• Ensure the definition of banking and bank letter of guarantee.
• The letter of guarantee characteristics.
• Uniform rules for letters of credit under the demand.
• Uniform rules for letters of credit under the demand Bulletin (1992/458).
• Uniform rules for letters of credit under the demand Bulletin (2010/758).
• The most important features of the Standard Rules for letters of credit under the demand Bulletin (2010/758).
• Article No. (26) force majeure.
• The importance and advantages of the letter of guarantee to the parties to the letter of guarantee.
• Parties to the letter of guarantee and the nature of the relationship between them.
• Elements of the letter of guarantee.
• Types of letters of guarantee.
• The life cycle of the letter of guarantee (version, extension, reduction, increase, cancellation, forfeiture).
• The difference between Islamic and conventional banks in dealing with letters of guarantee.
• Some practical cases.