E-bank guarantee - a modern solution for companies

Service Business

The e-guarantee is a guarantee via the Internet or via e-mail. We can often meet such terms when hearing about modern solutions for companies offered by banks in Poland. Most of them have already introduced bank e-guarantees to their offer. What is a bank guarantee and e-guarantee? What are the advantages of the latter? Is it a safe and recommendable solution? We will answer these and other questions in this article.

What is a bank guarantee and e-guarantee?

Bank guarantees are regulated in Poland by the Act of August 29, 1997 - Banking Law. A detailed definition can be found in Art. 81 of the Banking Law. Speaking of a bank guarantee, we mean the unilateral obligation of the bank, i.e. the guarantor, to pay in cash to the beneficiary of the guarantee, i.e. the entitled entity, a specified maximum sum of money in the event of failure to meet the conditions to be performed by the principal of the guarantee. The unconditional and irrevocable nature of the bank guarantee makes it reliable for the beneficiary. There are domestic and foreign bank guarantees in trade. In court jurisprudence in their scope, we most often encounter judgments related to guarantees of good contract performance. This is probably due to the fact that this type is one of the most popular methods of securing transactions in trade. In addition to them, we can distinguish guarantees:

  • advance payment return

  • tender (bid bonds) - including public procurement

  • loan repayment

  • return of the guarantee deposit

  • customs

  • warranty

  • timely payments

  • lease.

Each type of bank guarantees offered by the bank can be issued in the form of e-guarantees.

The e-bank guarantee is a modern form of issuing bank guarantees. Pursuant to the provisions of the law, to be valid, it must be issued in writing under pain of nullity. It is much faster and easier to use than the traditional form. It is treated in the course of trade in the same way as a paper guarantee. The bank e-guarantee is issued in an electronic form in the form of a pdf file with the signature of the bank's qualified employees. This signature may be verified by the beneficiary of the guarantee itself. Before using the e-guarantee, the client / ordering party should make sure that its beneficiary accepts this form of providing guarantees, e.g. a commercial contract. To issue an e-bank guarantee, it is enough to:
  • submission of an application for an on-line guarantee by the client,

  • attaching documents confirming the legitimacy of issuing a bank guarantee, e.g. construction contract, lease agreement or tender documentation.

An example of the process of issuing an e-guarantee

E-guarantee - what are its advantages?

Among the many advantages of using e-guarantees, there are a few of the most popular ones:

  • saving time

  • environmental Protection

  • reduction of warranty delivery costs

  • simplicity and clarity

  • security

  • low costs

  • no need to archive paper documentation.

Using the e-guarantee saves you time and eliminates the need to print the document and sign it by hand. The customer receives a guarantee to the indicated e-mail address or the bank sends it directly to the beneficiary by e-mail. Thanks to this solution, the costs of delivering guarantees via courier companies are reduced. They can be monitored using electronic banking systems, to which most customers also have mobile access. The fees associated with issuing an e-bank guarantee are lower than the costs associated with issuing it in a traditional paper form. The e-guarantee does not have to be provided to the beneficiary additionally in writing, which eliminates the need to archive paper documentation.

Security of e-guarantees

The bank e-guarantee issued in pdf and bearing a qualified signature meets the security requirements. The document in this form does not have to be transferred and archived on paper, which significantly reduces the risk of access by third parties. It uses an electronic signature based on a qualified certificate issued by the National Clearing House. This signature is given to selected bank employees who can issue bank e-guarantees. Often on the websites of banks there is a list of the names of employees with this certificate.

You can check the authenticity of the e-guarantee yourself.

The authenticity of the issued e-guarantee can be verified by the beneficiary or the ordering party directly from the file received from the bank. In the received pdf file, signatures should be displayed and their correctness checked. After receiving the message that they are correct and valid, we can be sure that the warranty has been properly issued. Another form of checking the authenticity is to use the Szafir application available for download from the website of the National Clearing House. In the application, select the "verify e-signature" icon and then select the file to be verified. After obtaining the result with the description "the signature has been correctly verified with a qualified certificate", we are sure that the guarantee has been properly issued and signed. At the customer's request, the bank issuing the e-guarantee may send to the beneficiary's bank a confirmation of its granting by means of a SWIFT message.

The e-guarantee is a modern way of delivering a bank guarantee to the beneficiary. This innovative service offered by banks shortens the time of receiving a bank guarantee and ensures the security of the received document. The customer, using the e-guarantee, can easily and quickly deliver it by e-mail to any place in the world. Using it saves time and money.