Letter of Guarantee

For peace of mind in your business transactions, we offer a range of Letters of Guarantee to provide you with the security you require.

What is a letter of guarantee?

A letter of guarantee is a document issued by us that ensures your supplier gets paid for the goods or services it provides to you if your business is unable to pay. In this scenario, we will pay your supplier up to a specific value.

Here are the types of Letters of Guarantee we offer
Bid Bond Guarantee
This guarantee assists you in the supply bidding process, ensuring that the company that wins the bid will undertake the contract under the terms specified.
Final Guarantee

This guarantees the final date at which the value of a clause in a contract must be stated. If not stated by this point, the value of the clause in the original agreement comes into place.

Performance Guarantee

A performance guarantee ensures your contractor fulfills their promise to complete the project they are working on for you.

Advance Payment Guarantee

An advance payment guarantee ensures that you get paid for the work you are undertaking for another company.

Financial Guarantee

A letter of financial guarantee ensures that a debt will be repaid to you by another party if the borrower defaults on their payment.

Custom Guarantee

This guarantee ensures you are covered for customs debt that arises from certain customs special procedures.

Zakat Guarantee

This gives you assurance for your Zakat payments.

Hajj & Umrah Guarantee

This gives you assurance for your Hajj & Umrah financing

Study Guarantee

A letter of study guarantee confirms you will sponsor a student(s) for their studies at an education establishment.

Licensing Guarantee

This enables a licensee to use and earn revenue from the owner’s property (the licensor).

How to Get a Letter of Guarantee
Get a Letter of Guarantee with eCorp

Sign in to your eCorp account to apply for a letter of guarantee or register for a new eCorp account if you are not a member.

Letter of Guarantee Application
Complete the letter of guarantee application form
Visit your local branch

Visit the branch of your choice to receive the original printout of the letter of guarantee.

We have prepared a guide at this link to help you understand how to apply for a Letter of Guarantee.

You can also get a letter of guarantee from us through the Etimad platform.
  • Manage your letters of guarantee through the platform.
  • Improve operational procedure
  • Verify financial transactions for government organizations

For more information, visit the Etimad website at https://portal.etimad.sa/en-us or download the user manual.

To get a letter of guarantee, you must
  • Subscribe to SNB eCorp.
  • Provide a 100% cash guarantee.
  • The guarantee must be issued in favor of a government beneficiary.
  • The purpose must comply with your business activity (as stated in your commercial registration).