Advance Payment Guarantee　

A written document issued by Bank of China (Malaysia) Berhad at the request of a customer to the owner of a contracted construction or the buyer of a sales deal, guaranteeing the Applicant will fulfill the contractual obligations after the owner or the buyer makes advance payment.

Solve the problem of mutual mistrust between both parties of a transaction. With good reputation, Bank of China (Malaysia) Berhad involves in the transaction and acts as a Guarantor to promote smooth transaction by providing guarantee for the parties. 

Guarantee fulfillment of contractual obligations. 

Guarantee payment of contract price. 

Indemnify the damaged party and penalize the defaulting party in case of breach of contract to avoid and reduce contract breaching activities, thus saving trouble and expenses arising from litigation or arbitration. 

Contractors involved in constructed projects. 

Suppliers involved in material procurement projects. 

Sellers involved in shipbuilding contracts. 

The enterprise is maintaining current account with our bank and having granted the facilities by the Bank of China (Malaysia) Berhad. 

Product Disclosure Sheet - Bank Guarantee/ Standby Letter of Credit - Version No 2023-09

The customer should provide the following documents:

a. Letter of Application for Banker’s Guarantee

b. General Letter of Indemnity For Banker’s Guarantee