A guarantee loan is defined as a contract between at least three parties:[1] By a guarantee loan, the guarantee obligation undertakes to respect the contractual commitments (commitments) of the adjudicator power – in favour of the obligated – if the client does not respect his commitments to the obligated. The contract is concluded in such a way that the subject is required to enter into a contract with the contracting authority, i.e. to demonstrate the credibility of the contracting entity and to ensure performance and conclusion under the terms of the agreement. [Citation required] In the financial field, a guarantee or guarantee implies a guarantee or guarantee promised by a party to assume responsibility for the borrower`s commitment in the event of the borrower`s default. As a general rule, a guarantee or guarantee is a promise of a surety or a surety to pay a certain amount to a party (the obligated party) when a second party (the principal) does not fulfill an obligation, such as the performance .B the terms of the contract. The guarantee obligation protects the obligated from losses resulting from the failure of the client to comply with the obligation. The person or company that makes the promise is also called a “guarantee” or “guarantor.” A guarantee is not a bank guarantee. Where the guarantee is responsible for a performance risk related to the awarding entity, the bank guarantee is responsible for the financial risk of the contractual project. The Kapitalist pays a (usually annual) premium in exchange for the bond company`s financial capacity to extend collateral loans. In the event of a claim, the warranty will review it. If it turns out to be a valid right, the guarantee is paid and then goes to the client for reimbursement of the amount paid for the claim and the legal fees incurred. In some cases, the client has a means of suing another party because of the loss of the client, and the guarantee has the right to “submit to the fault” of the client and seeks the retraction of damages to compensate for the payment to the client.

[2] A guarantee is not insurance. The payment to the guarantee company pays for the loan, but the principal remains responsible for the debt. The warranty is only necessary to reduce the time and resources that are used to recover losses or damages suffered by a contracting entity. The amount of the debt continues to be recovered through security issued by the client or, by other means, the taker. In some situations, an electronic warranty (BSE) can be used instead of a conventional paper warranty.

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