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Standby Letters of Credit



An undertaking by a bank on behalf of its Customer that a payment will be made at some future date in the event of a specified occurrence, standbys are commonly issued in favor of suppliers to support the ongoing purchase of goods and in cases where banks are precluded by law from issuing letters of guarantees.

Download the forms you need

arrow Standby Letter of Credit Application (77k, PDF)

arrow Standby Letter of Credit Amendment (34k, PDF)

Features

  • When a foreign buyer requires a bid bond/tender, advance payment or performance guarantee to support a foreign contract, the issuing bank can structure and issue a guarantee on behalf of the exporter either directly to the buyer, or indirectly through one of our correspondent banks in the buyer's country
  • Standby letter of credit applications can be completed and transmitted to TD Bank electronically via TD Bank Trade

Benefits

  • Facilitates exporters conducting business in international markets (tender process and contract completion)

Requirements

  • The client must have a credit facility in place in order to request that a standby letter of credit be issued
  • Electronic issuance of standby letters of credit via TD Bank Trade is available at no additional cost above issuance fees, and requires initial setup by TD Bank Global Trade Finance

Contact Global Trade Finance

Contact us with your international banking needs or call one of our Global Trade Finance representatives at 800-937-8226.