This type of guarantee ensures that the bidder meets its obligations and guarantees payment at the request of the organiser of the tender, if the bidder:
- recalls its bid after the submission deadline has passed;
- is declared the winner of the tender, but does not sign the relevant procurement agreement;
- fails to provide security for execution of the contract after acceptance of the bid, if such security was to have been made available according to the tender documentation;
- does not meet other obligations as specified in the tender documentation.
Advantages of this type of bank guarantee:
- the possibility to participate in tenders that require a banking guarantee;
- the possibility to get a soft copy (electronic) guarantee;
- a simplified list of documents required to provide a guarantee, covered by 100% cash;
- earn interest on funds that must be put on the coverage account;
The main conditions for guarantees issued by Pivdenny Bank
Requirements for principals:
(with the exception of those receiving guarantees under 100% cash coverage)
- have been in business for more than 12 months.
- a stable financial position.
The maximum term of the guarantee is rule-bound and at least equal to the term of validity of the bidder’s bid as specified in the tender documentation.
Currency – UAH.
Form of issue of the guarantee:
- in paper form (not available for bidding through the «ProZorro» system);
- in electronic form, signed by qualified electronic signature.
Collateral can be real estate; vehicles; goods in circulation; property rights to the funds on deposit accounts, etc.
Bidders in the «ProZorro» system may only provide guarantees against the surety of the business owners.
The bank decides on guarantees with 100% cash couverage within 3 working days from the time the full package of documents is submitted.
- under 100% cash coverage or under the pledge of property rights for a deposit of a legal entity – in UAH from 2.90% per annum, in USD from 1.40% per annum, in EUR from 1.90% per annum;
- under other security/without security – by agreement.
- increase of the amount - 0.2% of the increase amount (min. 1,000 UAH, max. 10,000 UAH);
- other changes (including cancellation) - 500 hryvnias
Procedure for issuing of the bank guarantee:
- The seller submits the required package of documents.
- Based on this package, the Bank determines the possibility to issue the guarantee.
- If the issuance is duly approved by the bank, contracts are signed with the client. The process is easier in case of cash collateral
- The bank issues the guarantee in paper form and sends it directly to the organiser of the tender. In soft copy/electronic form it is sent to the bank of the organiser of the tender.
For bidders with the ProZorro system, the bank issues the guarantee in electronic format and sends it to the client (bidder) so he can attach it to the bid registered in ProZorro.
How do I apply?
Contact your personal manager
for existing clients of the bank.