Issued by MT799 (HSBC Bank, London UK)
To : Discounting Bank
(Address )
_____________________________________
_____________________________________ Date :
RE : IRREVOCABLE STANBY LETTER OF CREDIT NO. __________________
FOR _____________________(AMOUNT)
In consideration of your granting to ( Customer’s Name ) (company
no. ) of ( Address )
(hereinafter referred to as “The Borrower”) totaling _________________
(amount in words ) only (hereinafter called the “Banking Facility/ies”), we
hereby open and establish in your favour Irrevocable Standby Letter Of
Credit No.________________ for amount of ___________________ (amount in
words) for the account of The Borrower.
This Irrevocable Standby Letter of Credit is for the purpose of security for
the borrower arising from the granting of the banking facilities by you
together with charges thereon. Provided that, our obligations under this
Standby Letter of Credit shall not exceed in aggregate the maximum sum of
__________________ (amount in words).
We hereby undertake irrevocably and unconditionally, and waving all rights
of objections or defenses arising from your relationship with the borrower to
pay you at maturity date ( date ) of this SBLC no__________________,
without set-off and free from any deductions, charges, fees or holding of
any nature now hereafter imposed, levied, collected, withheld or assessed
by the government of or any political subdivision or authority thereof or
therein, any amount (or amounts) you claim on your first written demand via
SWIFT or mail, stating that the demanded amount represents amount (or
amounts) due to you arising from the arrangement of your Banking
Facility/ies given to _____________________(The Borrower) (company no.
___________) of ( address ).
All claims must indicate our Standby Letter Of Credit no.
This Standby Letter Of Credit is transferable, assignable, without
presentation of it to us.
All charges outside United Kingdom are for the account of borrower.
This Standby Letter Of Credit shall remain valid from _______________ to
________________ in the country of beneficiary (hereinafter referred as
maturity date). The claim for payment is valid for presentation upon
maturity date of this Standby Letter Of Credit plus fifteen (15) days after the
maturity date (hereinafter referred as presentation period).
We hereby undertake that claim(s) in compliance with the terms and
conditions of this Standby Letter Of Credit will be duly honored by us within
three (3) banking days.
This Letter of Credit is subject to International Standby Practices (ISP98) /
Uniform Custom and Practice for Documentary Credit publication no.600
(UCP600) published by the International Chamber of Commerce.
