SPECIAL MONETIZATION PROGRAM FOR BANK INSTRUMENTS & BANK LODGED SKR’S PROGRAM
HIGHLIGHTS:
1. Designed to work with already issued, existing instruments or cash assets. NO Fresh Cut or Soon to be issued instruments without a verifiable Bank RWA
stating
acceptable
that
the
delivery
Bank
method
is
RWA
for
this
to
issue
program
a is
MT-760. a
The
Swift
only
MT-760.
2. Designed for World Banks that have a Moody’s or S & P Credit RatingNo Non Rated Banks (Please ask about our Non Rated Bank Monetization Program.) 3.
Both
Owned
and
Leased
Instruments
are
acceptable.
4. BG’s, SBLC’s , MTN’s and Cash (Blocked Funds) as well as any assets including bonds that are lodged in a Rated Bank as long as the Bank can issue
a
MT-760
certifying
the
value
of
the
asset.
NO
Non
Bank
Lodged
SKR’s. 5.
Minimum
Instrument
Size:
$50
Million.
6. For Owned Instruments: Non Recourse Loan To Value up to 60% Less 5%
Commission
depending
on
the
specific
Bank
7. For Leased Instruments: Non Recourse Loan To Value up to 55% Less 5% 8. A.
Commission Proceeds 33%
within
of 10
depending
on
Monetization
Paid
Banking
Days
after
the out
Good
specific in
3
receipt
and
the B.
Installments: verification
of
MT-760 33%
within
20
Banking
Days
after
Good
receipt
and
the C.
Bank
verification
of
MT-760 33%
within
the
30
Calendar
Days
after
Good
receipt
and
verification
of
MT-760
PROCEDURES: 1. The client will submit the following: Standard CIS, Passport, copy of the Instrument that has already been issued and a copy of the Bank Statement showing the Instrument in the Client's account. If the client has Blocked Funds
then a copy of the Bank Statement will suffice. PLEASE NOTE: We also require a verifiable RWA from the issuing bank stating that the Bank is RWA to issue a MT-760. 2. The client will be issued a contract from the monetizer. The usual time frame is within
48
to
72
banking
hours.
3. After both parties sign the contract and the client will inform the lender about the account details of where the instrument is being swifted from and on what day. The MT-760 must be sent within three (3) banking days after execution of the
contract.
4. The sending bank will send the MT- 760 to one of these two correspondent banks: Commerzbank, Germany OR EUROS
or
if
in
USD,
the
Bank
Swift
of New York
should
be
Mellon, Germany in
sent
in
Euro
Equivalent.
5. The receiving bank will authenticate and confirm the Swift per the protocols specified on the contact and the Payment cycle will begin as detailed above under
Program
Highlights.
6. Term of Monetization is One Year and One Month. Instrument is returned within
15
days
FREQUENTLY 1.
Question:
prior
to
ASKED What
type
the
expiration
QUESTIONS
of
Instrument/
Asset
of
13
months.
AND qualifies
ANSWERS: for
this
Program?
Answer: Any Asset or Instrument where the client is able to have his/her bank issue a MT-760 with the proper and standard Blocked Funds verbiage would qualify. This would include: Cash (Blocked Funds), Bank Guarantees, Stand By Letters of Credit, Medium Term Notes, as well as Hard Assets as long as they are
lodged
in
a
proper
bank.
2. Question: Must the Instrument already be issued or can you work with Fresh Cut
Instruments?
Answer: The requirement is for the Instrument, Cash or Hard Asset must already be on deposit in the client's bank. In certain cases, we would accept a RWA from a Bank if the instrument was not issued. However, we will not work with a NonIssued Instrument where there is a ‘Provider’ involved, as experience has shown that 3.
the What
vast are
the
majority time
of
frames
these involved
instruments in
Issuing
are a
never
contract
and
issued. closing?
Answer: This is a very important question. Our monetizer works very quickly to issue a contract. Once the contract is issued, the client reviews it. Any/ all questions will be addressed. Once the client signs the contract, the client's bank must be prepared to issue the Swift MT-760 within 2- 3 Banking Days (No
longer.) This will be specified on the contract. This short time frame is due to the fact that once the contract is signed by the client, the monetizer has already reserved the funds. If the client is unable to send a Swift within this time frame, then 4.
this Question:
is What
not types
the of
right
Banks
qualify
program for
for
the
the
Monetization
client. Program?
Answer: All Top World Banks qualify for the Monetization Program at the highest LTV's as indicated on the attached flyer. The monetizer will work other Banks that are not Top Rated at a Lower LTV, usually 60% less 5 % Commissions. The monetizer will not entertain: Non Rated Banks, Banks located in Venezuela, Brazil and in the Former Soviet Union. We do have a Monetization Program for Non-Rated Banks that requires a MT-760 at lower LTV. Please contact us for details. 5.
Question:
What
is
the
most
important
step
that
is
often
overlooked?
Answer: The client must be real and not a 'tire-kicker.' The client must be cooperative and transparent in his/her dealings. The client must be able to have his/her bank send a MT-760 in the time frame called for in the contract, i.e. between
2-3
WASTERS.
Banking
days
after
the
signing
of
the
contract.
NO
TIME