Division of letters of guarantee in terms of the formula.. Letters absolute and other restricted

Can be divided into letters of guarantee in terms of the formula into two types: absolute and letters Htabat restricted.

Letters of credit restricted or conditional that include wording to the Bank's commitment to pay the security deposit is to register thesubmission of documents or for breach of or default in the implementation of the client of its obligations, commitment of the bank suspended the requirement for a default even if the powerestimate and proof of this failure is up in the practical application ofthe same beneficiary without other.Letters of guarantee is restricted or conditional: This form contains the bank pledged to pay the value of the security at the first demandwithout restriction or condition, which is committed to pay the value of the collateral in case of objection to the client.