Suggested, but not mandatory pre-advice letter:
PRE-ADVICE LETTER OF ABILITY TO ISSUE GUARANTEE Specimen
For utilizing a bank-issued guarantee in the
Financial Guarantee Private Lending Program
ON BANK’S LETTERHEAD
Date:
To: {BORROWER COMPANY}
{BORROWER REPRESENTATIVE / Title}
{BORROWER COMPANY ADDRESS}
CC: (Trust Company)
(Trust President Name)
(Trust Address)
Re: Letter of Ability to Issue Guarantee
Proposed Loan Guarantee Face Amount US
Dear
We are pleased to inform you that we are fully aware of the transaction referenced above and that we have the ability to issue and deliver our irrevocable and unconditional Standby Letter of Credit in favor of your lending bank as beneficiary, subject to our receipt of a confirmation of funds from your bank. Our guarantee will have a face amount of $ in USD.
We have the ability to issue subsequent guarantees with face amounts specified by your Lender and when required by your Lender during the entire loan term to assure the repayment of the outstanding loan principal amount. We, the undersigned officials, are authorized to issue and deliver this guarantee.
Please understand that purpose of this letter to show interest only and to open a dialog and is not a letter of commitment.
Sincerely,
X_________________________ X_________________________
Authorized Bank Official Authorized Bank Official
[PRINTED FULL NAME] [PRINTED FULL NAME]
[TITLE] [TITLE]
[DIRECT PHONE NUMBER] [DIRECT PHONE NUMBER
[EMAIL ADDRESS] [EMAIL ADDRESS]
