Enquire about a Bond or Guarantee

To get started, please answer a few questions.

Are you an existing Lloyds Bank customer?

To enquire about a Bond or Guarantee, please call

0345 835 5722

Lines are open 8.30am to 5.30pm, Monday to Friday, except public holidays. 

Enquire about a Bond or Guarantee

One of our Trade Specialists will contact you to discuss how we can support your business.

Please fill in all fields unless they are marked optional.

If you’re unsure which Bond or Guarantee you need, please scroll further down this page to the “Common types of Bonds and Guarantees” tab for simple explanations.

The data you provide on this form is collected by Lloyds Bank plc for the purpose of contacting you to discuss your Bond or Guarantee requirements.

For further information about how Lloyds Bank plc processes your personal and business information please see our data privacy notice.

Submit
  • Common types of Bonds and Guarantees

    If you’re unsure which Bond or Guarantee you or your buyer might need, we’ve identified common types and provided simple explanations.

    Tender Guarantee (Bid Bond)

    Compensates the buyer/beneficiary if tender is withdrawn or the supplier declines to sign contract. The typical value of the Guarantee against the overall contract value is 2-5%.

    Advance Payment Guarantee

    Provides comfort to the buyer/beneficiary of repayment of advances if the supplier fails to perform in line with the agreed contract. Typically 10-40% of contract value.

    Standby Letters of Credit

    Effectively performs the same function as Guarantees – normally a ‘back-up’ Guarantee of payment if buyer doesn’t pay for goods.

    HMRC Guarantees

    Can defer payment of customs and excise duties. 

    Performance Guarantee

    A Guarantee against failure to perform an agreed contract. Typically 10-20% of contract value.

    Retention Guarantee

    Where it has been agreed that the buyer/beneficiary retains a portion of the payment for a certain period, the exporter will request its bank to issue a retention bond in favour of the buyer as security. This type of Guarantee protects the buyer from non-fulfilment of the contract terms. Typically 5-10% of contract value.

    Warranty Bonds

    Provide security to the buyer/beneficiary that the goods or services supplied will perform as per the contract under the specified warranty terms. If they do not, the Guarantee can be called on by the beneficiary. 

  • UK Export Finance (UKEF) Short Term Schemes

    Flexible government backed support is available for UK based exporters. We have provided some details of these initiatives, please get in touch for any questions you may have about eligibility. 

    UKEF Bond Support Scheme

    • Strengthen your ability to bid for new contracts with a bond Guaranteed by the UK government.
    • UKEF can typically Guarantee up to 80% of the Guarantee.
    • A UKEF-backed facility can be used in addition to your existing bank facility. 

    UKEF General Export Facility

    • Supports your export business to free up working capital
    • Helps to fulfil multiple export contracts, ease cash flow constraints and to scale up your export business.

What is a Guarantee?

Guarantees protect buyers of goods or services by agreeing an amount of compensation from the bank if the international or domestic seller fails to deliver on the contract.

Where your customers are less familiar, winning new contracts can be difficult without assurance you will perform as contracted.

We can help by providing a Guarantee to support your ability to perform under a contract, whether that be internationally or domestically.

The benefits of using a Guarantee

  • Bid for overseas or local business you might not have considered
  • Your buyers release cash earlier, supporting your cash flow needs
  • Protect your business against loss due to certain types of event, or in certain market conditions
  • You may be able to negotiate better terms and conditions by offering a Guarantee.

When might you need a Guarantee?

  • You may be asked to provide a Performance Guarantee which commits the bank to make payment to the beneficiary if you fail to perform your agreed obligations.
  • You may be asked to provide a Financial Guarantee which commits the bank to make payment to the beneficiary if you fail to meet your financial obligations under a contract.

Why choose Lloyds Bank?

Global Reach

As a major UK Bank, we work with a network of financial institutions in more than 130 countries, to provide end-to-end support across the world.

Expertise

Specialist Trade directors are on hand to discuss your businesses trade requirements, and tailor trade solutions to your needs.

Efficiency

All processing of trade transactions is undertaken by knowledgeable trade specialists, at a dedicated Trade Operations centre in the UK.

Get in touch

To discuss Bonds and Guarantees with a specialist, call 0345 835 5722.

Lines are open 8.30am to 5.30pm, Monday to Friday, except public holidays.

Lloyds Bank Online Trade Services (LOTS)

Manage all your international trade transactions through our Online Trade Services platform, at no additional cost.

Log on to LOTS

Trade Tracker

Check the status of your trader transaction requests instantly, with our Online Trade Tracker.

Check status

Important Legal Information

Calls may be monitored or recorded in case we need to check we have carried out your instructions correctly and to help improve our quality of service.

The products and services outlined on this site may be offered by legal entities from across Lloyds Banking Group, including Lloyds Bank plc and Lloyds Bank Corporate Markets plc. Lloyds Bank plc and Lloyds Bank Corporate Markets plc are separate legal entities within the Lloyds Banking Group.

Lloyds Bank is a trading name of Lloyds Bank plc, Bank of Scotland plc and Lloyds Bank Corporate Markets plc. Lloyds Bank plc. Registered Office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no.2065. Bank of Scotland plc. Registered Office: The Mound, Edinburgh EH1 1YZ. Registered in Scotland no. SC327000. Lloyds Bank Corporate Markets plc. Registered office 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no. 10399850. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 119278, 169628 and 763256 respectively.

We adhere to The Standards of Lending Practice which are monitored and enforced by the LSB: www.lendingstandardsboard.org.uk.

Eligible deposits with us are protected by the Financial Services Compensation Scheme (FSCS). We are covered by the Financial Ombudsman Service (FOS). Please note that due to FSCS and FOS eligibility criteria not all business customers will be covered.