POF is a letter or documentation that proves an individual, institution or corporation has sufficient funds to complete a transaction.
BG is a payment guarantee generally issued by a bank “the issuing bank” on behalf of a client “the applicant” securing payment to a third party.
A letter of credit is a letter from a bank guaranteeing that a buyer’s payment to a seller will be received on time and for the correct amount.
A documentary letter of credit is an undertaking of the bank, which has opened a letter of credit on request of a buyer (applicant) to pay an amount to the seller (beneficiary) as specified in the letter of credit.
A Standby Letter of Credit (SBLC / SLOC) is seen as a guarantee that is … Atradius Exclusive: The Asian insolvency storm – trade credit insurance overvie
Monetization of a SBLC/ BG is a process in which the leased/purchased instrument is being bought at a premium over the purchase or lease price by a monetization company