ALL Clients who wish to Purchase a Leased SBLC / BG MUST pay a Deposit to the Independent Trustee. No Deposit, No Leased SBLC or BG.
4 Reasons The Deposit is Required:
1/ World Top 50 Banks will NOT issue a SBLC / BG unless they have an assurance that when they complete delivery of the SBLC to the Clients Bank that they will be promptly paid for creating and delivering the SBLC or BG.
2/ ALMOST ALL banks now require Clients to make a good faith payment at the start of a SBLC / BG transaction. Too many Banks have been burned with failed SBLC / BG transactions by clients who have refused to show any capacity to be able to:
- a)Either make a good faith payment, or
- b)Settle a legitimate SBLC / BG transaction.
The High Rate of failed SBLC/ BG transactions from clients who have not invested any money in the settlement of their own SBLC / BG transactions has lead Most Banks and Financial Instrument Providers to now require good faith payments BEFORE a SBLC / BG is Issued by a bank.
3/ If a client could get a $70 Million or $200 Million Dollar Standby Letter of Credit or Bank Guarantee issued without contributing a single dollar, every homeless person on the planet would be doing it! There has to be a common-sense barrier to prohibit that sort of foolishness and misuse. Obtaining a SBLC / BG without providing any kind of Deposit is a Fairy Tale that has never existed. Read more about why FREE Financial Instruments don’t exist click here.
4/ There has been a high level of fraud with Proof of Funds and Bank Statements. Platform Funding’s view is if a client cannot transfer the required Deposit for a Leased SBLC or BG Purchase to an Independent Trustee (after all program documents are signed by all parties) when they “claim” to have funds to buy a $20 Million Dollar Standby Letter of Credit or Bank Guarantee, then the client probably is NOT real and Platform Funding shouldn’t be doing business with them.
The following Lease SBLC / BG Deposits and Insurance Fees are required to be paid AFTER ALL parties have signed the Leased Financial Instrument Deed of Agreement.
BG / SBLC Value | Required Deposit | Insurance Fee |
| Total Payment Required | |
$10 Million | $250,000 | + | $10,000 | = | $260,000 |
$20 Million | $265,000 | + | $15,000 | = | $280,000 |
$30 Million | $280,000 | + | $20,000 | = | $300,000 |
$50 Million | $300,000 | + | $25,000 | = | $325,000 |
$70 Million | $315,000 | + | $35,000 | = | $350,000 |
$100 Million | $350,000 | + | $50,000 | = | $400,000 |
$150 Million | $385,000 | + | $65,000 | = | $450,000 |
$200 Million | $425,000 | + | $75,000 | = | $500,000 |
$300 Million | $515,000 | + | $85,000 | = | $600,000 |
$400 Million | $550,000 | + | $100,000 | = | $650,000 |
$500 Million | $580,000 | + | $120,000 | = | $700,000 |
Need a SBLC / BG Larger than 500 Million?
We DO NOT issue Standby Letters of Credit (SBLC)s or Bank Guarantee (BG)s over 500 Million as financial instrument transactions larger than 500 Million often get stopped and flagged in every Bank and Governments Compliance Department and held for audit. These Bank and Government Audits can often delay client transactions for months because the instrument value exceeds normal bank and government transaction parameters. We therefore recommend if you want to complete transactions larger than 500 Million that you do a series of tranches of no more than 500 Million. Example: For a 2 Billion Dollar SBLC, have it delivered in 4 x 500 Million SBLCs.
No Upfront Fees
The Sad Reality is our industry is full of people that believe the fairy tale that SBLCs and BGs can be obtained with NO MONEY UPFRONT. The fact is they can't! They never have been able to be purchased for free and they never will be! ALL Banks especially World Top 50 banks charge fees to create and deliver the SBLC / BG to the Client. Banks don’t work for FREE and they won’t deliver assets worth millions of dollars to a client account for FREE and then hope the Client will pay them later!
IMPORTANT: If you want to complete a genuine, real, legitimate SBLC or BG transaction you have to lodge a Deposit with our Independent Trustee who will act in your best interests and protect your funds completely.
