How To Find Genuine BG SBLC Providers?

Everyday lots of people are asking How To Find Genuine Bank Instrument Providers such as Genuine SBLC Providers and real bank guarantee providers? Why are there so many scammers in the bank instrument industry? Why are most people who claim to be providers of bank instruments scammers? Since there are many sharks in this industry pretending to be providers, how can I find a real bg sblc provider that will not steal my money and run away?

In previous articles I mentioned how challenging it can be to find Genuine SBLC providers, but here, I will try and explain more.

Firstly one needs to understand that banks do not advertise SBLC’s as part of their everyday banking products, the true reason behind this is simple, banks aren’t allowed to advertise SBLC. Standby Letters of Credit (SBLC) are provided by high net worth clients with a large cash holding in a bank account. These high net worth clients usually have investment portfolios which include hedge funds, private equity, pension funds etc and these individuals can be truly hard to get in touch with, either because they choose to remain anonymous or they are just straight-up busy individuals.

In order to be sure these genuine providers are dealing with serious prospective buyers of their bank instrument they usually undertake serious checks and balances, this task is usually assigned to reputable Financial Services Providers such as Kingrise Finance Limited. These Financial Services providers such as Kingrise Finance Limited are given the responsibility of making sure a strict screening process is adhered to and only prospective buyers who meet the necessary criteria are allowed access to the Genuine Provider.

So if you are in the market for an SBLC (Standby Letter OF Credit) or Bank Guarantee (BG) then make sure you use a reputable Financial Services Provider with decades of experience like Kingrise Finance Limited, the benefits of following this approach is you know you have peace of mind that your interest would be looked after and you surely would be getting the best deal.What is a Standby Letter of Credit (SBLC)? A standby letter of credit (SBLC or SLOC) is a legal document that guarantees a bank’s commitment of payment to a seller in the event that the buyer–or the bank’s client–defaults on the agreement. A standby letter of credit helps facilitate international trade between companies that don’t know each other and have different laws and regulations. Although the buyer is certain to receive the goods and the seller certain to receive payment, a SBLC/SLOC doesn’t guarantee the buyer will be happy with the goods.
A standby letter of credit can also be abbreviated SBLC or SLOC. A standby letter of credit is different from a bank guarantee.

Examples & Types of Standby Letter of Credit (SBLC/SLOC)

Financial standby LOC: An exporter sells goods to a foreign buyer, who promises to pay within 60 days. If the payment never arrives (and the exporter required the buyer to use a standby letter of credit) the exporter can collect payment from the importer’s bank. Before issuing the letter of credit, the bank typically evaluates the importer’s credit and determines that the importer will repay the bank. But if the customer’s credit is in question, banks may require collateral (or funds on deposit) for approval.

Performance standby LOC: A contractor agrees to complete a construction project within a certain timeframe. When the deadline arrives, the project is not complete. With a standby letter of credit in place, the contractor’s customer can demand payment from the contractor’s bank. That payment functions as a penalty to encourage on-time completion, funding to bring in another contractor to take over mid-project, or compensation for the headaches of dealing with problems. This is an example of a “performance standby letter of credit, and a failure to perform triggers the payment.

Advantages of a Standby Letter of Credit (SBLC / SLOC)

An SBLC helps ensure that the buyer will receive the goods or service that’s outlined in the document. For example, if a contract calls for the construction of a building and the builder fails to deliver, the client presents the SLOC to the bank to be made whole. Another advantage when involved in global trade, a buyer has an increased certainty that the goods will be delivered from the seller.

Also, small businesses can have difficulty competing against bigger and better-known rivals. An SBLC can add credibility to its bid for a project and can often times help avoid an upfront payment to the seller.

The SBLC / SLOC is often seen in contracts involving international trade, which tend to involve a large commitment of money and have added risks.

For the business that is presented with a SLOC/SBLC, the greatest advantage is the potential ease of getting out of that worst-case scenario. If an agreement calls for payment within 30 days of delivery and the payment is not made, the seller can present the SLOC to the buyer’s bank for payment. Thus, the seller is guaranteed to be paid. Another advantage for the seller is that the SBLC reduces the risk of the production order being changed or canceled by the buyer.

 Uses of SBLC / SLOC A standby letter of credit helps facilitate international trade between companies that don’t know each other and have different laws and regulations. Although the buyer is certain to receive the goods and the seller certain to receive payment, a SLOC doesn’t guarantee the buyer will be happy with the goods.   A standby letter of credit is most often sought by a business to help it obtain a contract. The contract is a “standby” agreement because the bank will have to pay only in a worst-case scenario. Although an sblc/sloc guarantees payment to a seller, the agreement must be followed exactly. For example, a delay in shipping or a misspelling a company’s name can lead to the bank refusing to make the payment.There are two main types of standby letters of credit:A financial sblc/sloc guarantees payment for goods or services as specified by an agreement. An oil refining company, for example, might arrange for such a letter to reassure a seller of crude oil that it can pay for a huge delivery of crude oil.Standby letters of credit can help establish trust with your business partners and be a powerful tool to help meet your business goals.

The Difference Between Letter of Credit (LC/DLC) and Standby Letter of Credit (SBLC/SLOC). Please note that Standby Letter of Credit (SBLC/SLOC) is different from Letter of Credit (LC).
A letter of credit (LC), also known as a documentary credit or bankers commercial credit, or letter of undertaking (LoU), is a payment mechanism used in international trade to provide an economic guarantee from a creditworthy bank to an exporter of goods. Letters of credit are used extensively in the financing of international trade, where the reliability of contracting parties cannot be readily and easily determined. Its economic effect is to introduce a bank as an underwriter, where it assumes the counterparty risk of the buyer paying the seller for goods

The major difference: The ‘Letter of Credit’ and the ‘StandBy Letter of Credit’ are two legal bank documents that are used by international traders. Both these letters are used to ensure the financial safety between the supplier and their buyers. And, SBLC is a type of LC that is used when there is a contingent upon the performance of the buyer and this letter is available with the seller to prove the buyer’s non-performance during the sale.

LC and SBLC are the two financial instruments that are meant to safeguard the financial interests of the international traders i.e. buyers and sellers. It simply means that both these terms are widely useful while making transaction between the two trading parties. These help in giving financial security to both the parties. Also, these contracts are produced in good faith and in both the cases the fund gets mobilized.

Genuine SBLC Provider- Lease BG/SBLC Providers | Kingrise Finance Limited
Genuine SBLC Provider- Lease BG/SBLC Providers | Kingrise Finance Limited

How much does an SBLC cost?

Standby letter of credit costs between 1-10% of the SBLC/SLOC amount before issuing the sblc/sloc. This fee is usually charged per year that the letter of credit is in effect. If the sblc/sloc is needed for more than one year, there will be an option of rolls and extensions where applicable. If the terms of the contract are fulfilled early, you can cancel the SLOC/SLBC without incurring additional charges.

What is SBLC funding or SBLC Financing?  SBLC financing or SBLC funding is the process of using sblc to obtain loan or financing from a bank. SBLC/SLOC financing can also be described as the process of converting a standby letter of credit (sblc / sloc) into cash or legal tender.

What is Bank Guarantee Funding? Bank Guarantee funding is the process of converting a bank guarantee into a cash or legal tender. 

What is the LTV (Loan To Value) for leased bank instruments? At Kingrise Finance Limited, we offer the best rates in the industry. All our bank instruments are issued from prime banks and we offer 80% LTV which you cannot get elsewhere. So why go elsewhere?

Terms and Procedure for BG/SBLC

Below is the normal procedure for the submission and issuance of a Bank Guarantee or Standby Letter of Credit from Kingrise Finance Limited (KFL)

Step 1: Application is made to KINGRISE FINANCE LIMITED for opening of a BG/LC//SBLC including but not limited to the following:

1. BG/SBLC application form. (Provided by KINGRISE FINANCE LIMITED upon request)

2. Desired verbiage of BG/SBLC. (If none provided, KINGRISE FINANCE LIMITED will provide its normal BG/SBLC / letter of credit verbiage.

3. SWIFT code and address of beneficiary bank.

4. Know Your Customer (KYC) documents including but not limited to: Passport copy of applicant, proof of address documents such as electricity or water bill, articles of incorporation of applicant company and brief summary, executive summary and/or business plan of underlying transaction.

Step 2: KINGRISE FINANCE LIMITED reviews all documents presented and evaluates acceptability of documents. KINGRISE FINANCE LIMITED then either approves application or denies and shall inform the applicant of such decision.

Step 3: KINGRISE FINANCE LIMITED prepares draft of the BG/SBLC as it is comfortable to issue and forwards to client for approval. All drafts shall be in line with rules and regulations governing the issuance of BG/SBLC.

Step 4: The client approves the draft and:

1. Signs a contract agreeing to the terms and conditions of issuance and issuance charges as negotiated.

2. KINGRISE FINANCE LIMITED issues the invoice for the agreed upon charges.

Step 5: Client makes payment of charges as per agreed upon payment structure.

1. Client shall provide TT/Wire copy of payment made to KINGRISE FINANCE LIMITED account.

2. KINGRISE FINANCE LIMITED shall confirm to client credit of funds upon receipt of funds to KINGRISE FINANCE LIMITED account.

Step 6: KINGRISE FINANCE LIMITED uploads draft to SWIFT system and provides copy to applicant for final approval of message. Upon approval given by applicant KINGRISE FINANCE LIMITED then releases the SWIFT to beneficiary bank coordinates.

Step 7: Copies of released SWIFT are then forwarded to the client via email or hard copy as requested. In case the client is represented by an advisor, then it is forwarded to the advisor only.

Step 8: Any amendments to BG/SBLC are subject to approval of KINGRISE FINANCE LIMITED.

The following is the procedure for payment schedule. The following are general terms:

1. Fees are paid before the issuance of each SWIFT message. In the case of RWA for a BG/SBLC fees need to be paid before hard copy/email issuance.

2. KINGRISE FINANCE LIMITED does not engage in JV payment structures and will not issue any message for zero monies paid upfront.

3. KINGRISE FINANCE LIMITED will not accept payment via ICBPO.

4. If KINGRISE FINANCE LIMITED fails to deliver the instrument as agreed upon, KINGRISE FINANCE LIMITED shall return the fees paid for that issuance.

5. Fees paid for an RWA and MT799 will be used as credit towards fees to be paid for the MT760.

6. In the case that KINGRISE FINANCE LIMITED successfully delivers RWA/MT799 and client does not go ahead with MT760; fees paid for RWA and MT799 will not be returned.

All fees shall be agreed upon and stated in a formalized contract.


1. Instrument:                BG (Bank Guarantee) Standby Letter of Credit (SBLC), cash-backed, 
2. Total Face Value:          Eur/USD 2 Million (Min) to Eur/USD 500m (Max)
3. Issuing Bank:              HSBC Hong Kong, Barclays Bank London, Deutsch Bank AG, Frankfurt  or any AA Rated Bank.
4. Term / Age:                One (1) Year and One (1) day, Fresh Cut
5. Invoice Price:              45% Net and 47% Gross of the face value of each BG/SBLC to the Seller, including 2% consultancy fees as per IMFPA.

6. Consultation Fee:       In total of 2%, which is to be split and paid to the consultants as follows:

                                       1% to …(Seller’s Mandate).., paid by the Seller/Payer-1

                                       1% to ………………………, paid by the Buyer/Payer-2 7. Delivery of instrument:          Bank-To-Bank by SWIFT MT-760, as per the Schedule of Delivery of Buy-Sell Agreement

8. Payment for instruments:                   By SWIFT MT-103 wire transfer
9. Original Hard Copy:                 By bonded courier to Buyer’s designated Depository Bank within Seven (7) bank working days after receipt of BG/SBLC(s) settlement payment by SWIFT MT-103 into the Seller’s account.


1. Instrument:               Fully Cash Backed Bank Guarantee {BG} or StandBy Letter of Credit {SBLC}
2. Total Face Value:       USD 2Million (Min) to USD 500m (Max)
3. Issuing Bank:             HSBC Hong Kong, Barclays Bank London or any prime Bank.
4. Age:                        One Year and  One Day (with rolls and extensions where applicable) 
5. Leasing Price:            4%  (+ 2% brokers commission where applicable) 2% broker commission applies to clients that were introduced by brokers
6. Delivery:                   SWIFT MT-760
7. Payment:                  MT103  Wire Transfer
8. Hard Copy:                Bonded Courier within 7 banking days.9. Bank Transmission fee: Depends on the face value of the bank instrument

Uses of Bank Instruments for potential holders or beneficiary
  1. Bank instruments vary in scope and purpose with each bank instrument serving a specific purpose. Bank instruments are very important in international trades, trade finance, important and export transactions and they are widely used by businesses, contractors, importers as well as exporters.
  2. Some financial instruments will act as Collateral or credit enhancement to shore up financial statements and profile.
  3. Loan or funding commitment; demonstrate project, business, venture or program has sufficient merit or cash flow returns to warrant funding and investments.
  4. Some bank instruments like letters of credit helps to facilitate international trade between companies that don’t know each other and have different laws and regulations. 
  5. Proof of funds, bank guarantees, letters of credit; to facilitate, secure or execute projects, trade and business transactions.
  6. Bank instruments like letter of credit (LC), also known as a documentary credit or bankers commercial credit, or letter of undertaking (LoU), is a payment mechanism used in international trade to provide an economic guarantee from a creditworthy bank to an exporter of goods. Letters of credit are used extensively in the financing of international trade, where the reliability of contracting parties cannot be readily and easily determined. Its economic effect is to introduce a bank as an underwriter, where it assumes the counterparty risk of the buyer paying the seller for goods.  The International Chamber of Commerce oversaw the preparation of the first Uniform Customs and Practice fombbr Documentary Credits (UCP) in 1933, creating a voluntary framework for commercial banks to apply to transactions worldwide.
  7. Another bank instrument known as bank guarantee acts similarly to a line of credit, except that a line of credit can be drawn upon at will by the bank’s client. A bank guarantee is used only if the client does not pay its vendor an agreed-upon amount. U.S. credit institutions are forbidden from assuming guarantee obligations, and therefore most international transactions require a standby letter of credit.

As we already admitted from the beginning of this article, there are many scammers in this industry so we advise every customer to be very vigilant and do their homework well before deciding to work with any provider. I must warn you that there are only 10 real providers of bank instruments in the world and Kingrise Finance Limited is occupying the top spot in the real bg/sblc providers list. We are the go to place when you need real sblc providers. We are the world’s leading provider of bank guarantee.

Also, there are many joker brokers in this industry and these are the people spreading all sorts of lies and unverified information. They are the ones making it look like free bg/sblc without upfront fee is possible. We wrote an explosive article about free bank guarantees without any upfront fees, please read it here:

These are the top 14 reasons why many bank instrument transactions fail. Please read that article so you will understand the reasons why many people Fail in BG SBLC Transactions

Kingrise Finance Limited was incorporated in Hong Kong on 22-SEP-1999 as a Government Licensed Money Lender with CR No.: 0689078. We are leading providers of Business Loan, SME Loans, Project Financing, Recourse Loan, Non Recourse Loans and Bank Financial Instruments such as Standby Letter of Credit, Bank Guarantee, Performance Guarantee Bond, Tender Bond Guarantee, Advance Payment Guarantee, Bank Comfort Letter, Letters of credit etc.

We have been providing these financial services to our numerous customers all over the world including importers, exporters as well as customers that need credit enhancements or trade finance facilities to execute projects locally or internationally.

Our loan interest rate is just 3% annually and you can get loan financing from us with or without security or collateral. The loan term is up to 30 years with a grace period up to 3 years for those in the construction industry.

Our bank instruments, bg and sblc/sloc are issued from prime banks such as Barclays Bank London, Standard Chartered Bank, HSBC Hong Kong or any rated AAA bank of your choice. All our financial instruments are Cash-Backed and can be used as collateral to secure funding for projects, Discounting, Monetization and Private Placement Programs (PPP).

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Finding Real Bank Instrument Providers- Kingrise Finance Limited

Why Choose Us?

  • Fast Turnaround
  • Best Top Rated Banks
  • Competitive Low rates
  • No prepayment penalty
  • 2 Days for Commitment
  • Extremely Satisfied Clients
  • 20 Years of Experience & Trust
  • No Personal Collateral Required
  • Solutions for every customer & every industry.
  • Loan amounts from $1 million to over $500 million
  • Fast Approvals & Fast Funding- Closing in as little as 5 days

BROKERS: We welcome new brokers who are direct to their clients. New brokers are welcomed and are rewarded with 2% commission on every deal they bring to us. 

Kindly contact Us today for all your funding needs, including business loan, sme Loans, project financing, bank instruments (Bank Guarantee, Standby Letter of Credit, Letter of Credit) | BG|CD|BD|DLC|BCL|SBLC|SLOC.


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