A surety is an accessorial obligation with reference to the creditor. It depends on the conditions and contents of the principal's liabilities and is limited by its volume. This can result in the fact that the surety loses its validity if the debt is redeemed for any reason (for example, by payment). In certain conditions, the guarantor should also provide the creditor with all disclaimers which the principal has at his disposal.
The Code of Ukrainian laws in practice acts in such a way that the bank as a guarantor, only makes a payment on condition of the receipt of a genuine due claim. According to Article 192 of the Ukrainian Civil
Code, a surety is equally as responsible as the debtor, particularly for the payment of interest, damages, penalties, unless otherwise determined in the surety agreement.
It should be noted that in practice, sureties are used exclusively for facilitating the activities of domestic creditors.
Rates
Transaction
Rates
Remarks
Issue of a guarantee by Raiffeisen Bank Aval under anonther bank's counter-guarantee
1.25%
Per quarter
Issue of a guarantee
In a foreign currency — 10-16% per annum (2.5 — 4% per quarter)
Cancellation of a guarantee
In UAH — UAH 200
Increase or prolongation of a guarantee
In UAH — UAH 5000
Additional expenses:
Settlement transactions via SWIFT, telex, fax, etc.
