Tag Bank Guarantee (BG)

UNDERSTANDING BG/SBLC MT760

Swift BG/SBLC MT760: BG (Bank Guarantee) is a bank's promise to cover financial losses if a buyer defaults. SBLC (Standby Letter of Credit) ensures payment if the buyer fails to meet obligations. MT760 is the SWIFT message format used to transmit these guarantees between banks. The process helps secure international trade transactions, reducing risks for both parties involved, typically used in industries like construction and import/export.

BG/SBLC MT760: WHAT IT IS AND WHY IT MATTERS In the world of finance and banking, you may have come across the term “BG/SBLC MT760”. While it sounds complex and technical, breaking it down makes it much easier to grasp.…

What is a Bank Guarantee (BG)?

Illustration of a bank guarantee process, showing how it ensures payment and contract fulfillment in business transactions.

As a business owner who is involved in international transactions, you have multiple payment options at your disposal. However, these payment options comes with risks—such as the potential for contract breaches or non-payment. To mitigate these risks and ensure smoother…