You can offer your supplier a Standby Letter of Credit to induce them to give you open account terms. Our credit ensures your supplier will be paid in the event of default or non-performance.
A Standby Letter of Credit is typically issued for the following reasons:
- to give a supplier the assurance that they will be paid.
- to support bid and performance obligations.
- to support bond issue guarantees.
- to support reinsurance or workman’s compensation agreements.
National Penn’s International Group will work closely with you to ensure that your Standby Letter of Credit provides exactly the protection you and the beneficiary need.