Letters of Credit

When it comes to embarking on new business deals, who better to vouch for you than a bank in which you have an established relationship? Rather than look to an insurance company to provide the validation you need, a Letter of Credit from STC Capital Bank should do the trick.

A Letter of Credit provides guarantee on large purchases, especially helpful when embarking upon new business relationships. Start and stay on the right foot; STC can help.

Summary
  • Competitively low, variable rates
  • Provides guarantee on payments of large purchases or contractual agreements to third parties
  • Helpful when embarking upon new business relationships
  • Can also be used to guarantee a service
  • Terms ranging from 3 months to 2 years
  • No principal balance exists unless payment is required under the terms and conditions of the letter
  • Repayment is due in full if drawn upon
  • $10,000 minimum loan amount
  • $1,000,000 maximum loan amount
  • Can replace need for insurance company performance bond
  • Fee is based on face value amount
  • Interest accrues only if beneficiary requests an advance
  • Friendly, experienced service from start to finish