Other Services
Other services include cheque discounting, Bankers’ Indemnity, Bank Guarantees etc.
Cheque Discounting
This is reducing the face value of a cheque by a percentage to effect immediate payment e.g. on post-dated cheques.
Charges
Prevailing lending rate
Charges depend on the period of maturity and amount.
1.5% arrangement fee.
Banker's Indemnity
A promise to a third party that the bank will reimburse or pay for goods or services supplied to the third party. This serves to protect the third party against financial loss.
Charges
1% of the Invoice Value (minimum D750.00).
Provision of letter of indemnity allows the purchaser to take immediate delivery of goods, thus saving time, storage expenses and insurance costs.
Bank Guarantees
The underwriting of potential liability in favor of a third party where the bank undertakes to pay the third party should our customer fail to fulfill their obligation. They include Bid Bonds, Advance Payment Bonds, Performance Bonds, and Retention Bonds.
Charges
Issuing charge 1.5%
Commission 0.5% per quarter.