Advantages of letters of guarantee for the beneficiary.. Bank is committed in his immediate payment without conditions even if the client's objection to the payment

The letter of guarantee for the beneficiary to ensure good is as important as the insurance money, because of the conditionscontained in the Bank's commitment to make definitive, independent, and abstract, because the bank is committed in hisimmediate payment without conditions even if the client's objectionto pay.

And the letter of guarantee to the beneficiary also provides a lot of effort and time to relieve him from doing that administrative and accounting procedures required by the complex usually upon the filing of insurance or cash to release him.It also provides a great opportunity the letter of guarantee to thebeneficiary to check on the principle of confidentiality of the competition, as the deposit insurance cash easily reveals the situation of competitors and their offerings, as it may harm the conduct and the confidentiality of offers, so the letter of guarantee, a substitute for such measures that reveal the amount of the guarantee.

Also that the acceptance of letters of guarantee as an alternative tosecure cash by the beneficiary encourage suppliers and contractorsto apply for tenders being advertised to the advantages achieved bythe letter of guarantee to them of the need not to deposit cash anddisable them from investing.