Banker's guarantee

alicean · Post by **alicean** » Wed, 15 Feb 2012 5:51 pm

Hi friends, I'm a PR and going to set up an employment agency and as I know MOM will request for a Banker's Guarantee of $60k. Anybody here experienced this situation? My question is how much I have to furnish in order to obtain 60k BG and which bank is good for this service?
Appreciate any advices.

Mad Scientist · Post by **Mad Scientist** » Thu, 16 Feb 2012 1:00 am

Any local banks are able to supply you a BG. The only difference is the cost of supplying it. DBS should be OK. It is nothing major like BL etc.

Post by **sundaymorningstaple** » Thu, 16 Feb 2012 9:15 pm

Maybank is one of the cheapest. Try them.

alicean · Post by **alicean** » Thu, 16 Feb 2012 10:25 pm

Thanks MS & SMS.
I just approached a few banks today and they say I need to set up a fixed deposit account of 60k first and it cannot be touched within licensing time. It means that $60k is locked for 2 yrs that is quite unfavorable.
Also heard from them that insurance broker can help to obtain BG without freezing the money. Any one knows about this method?

Mad Scientist · Post by **Mad Scientist** » Fri, 17 Feb 2012 3:30 am

alicean wrote:Thanks MS & SMS.
I just approached a few banks today and they say I need to set up a fixed deposit account of 60k first and it cannot be touched within licensing time. It means that $60k is locked for 2 yrs that is quite unfavorable.
Also heard from them that insurance broker can help to obtain BG without freezing the money. Any one knows about this method?

Yes this is an SOP for banks. Some will charge fees for maintaining the security. Don't know about Insurance Brokers. I would stay away from them as far as the Lamp Post or even further.
Private Equity banks does that without security but you have millions secured that they are not worried

Post by **sundaymorningstaple** » Fri, 17 Feb 2012 6:56 am

Actually, that is how most FDW's are brought in as well. They use an insurance broker for the insurance to the bank to secure the deposit. It's rather easy and saves tying up chunks of cash. I used an insurance broker & Maybank when I needed my bankers guarantee for my Recruitment Agency License. Costs me around $220/yr I think, been awhile now so not to sure of the exact costs back then.

alicean · Post by **alicean** » Fri, 17 Feb 2012 10:17 am

Hi SMS, can you recommend the broker that you used? It's much appreciated, as I always feel uncomfortable talking to insurance brokers.

Post by **sundaymorningstaple** » Fri, 17 Feb 2012 11:31 am

I wish I could but I tried to find them about a year ago for another poster here but they are no longer located in the Park Royal on Beach Road. My address card numbers or the agency name are no longer valid as well. Wish I could recommend someone, but I gave up my Singapore License around 3 years ago so no need for an Insurance broker any longer.

ecureilx · Post by **ecureilx** » Fri, 17 Feb 2012 12:10 pm

Also check with HSBC !!

Post by **sundaymorningstaple** » Fri, 17 Feb 2012 12:30 pm

I thought they were a bank, not insurance brokers....

ecureilx · Post by **ecureilx** » Fri, 17 Feb 2012 12:37 pm

sundaymorningstaple wrote:I thought they were a bank, not insurance brokers....

They to do such stuff apart from Banking ! Heck, it is hard to find a bank not selling insurance ..

After all, tell me .. which bank doesn't 'upsell' nowadays .. or provide a 'full suite of services .. '

Starting from Toxic Loans to .. restructured loans to ..

alicean · Post by **alicean** » Sat, 18 Feb 2012 2:53 pm

I have checked with Maybank & HSBC. They are quite straightforward to ask for a fixed deposit account and give no advise on other methods. So no use at all.
Well I think better talk to the insurance company directly, banks seem not so useful here.

ukdesigner · Post by **ukdesigner** » Thu, 23 Feb 2012 5:39 pm

I got my bankers Guarantee from OCBC. Don't go to Citibank. No idea what they're talking about. You might have to do it as a corporate rather than a personal. I went into the branch on Balestier road. Spoke to the manager and had it done within 2 working days. Actually I think it was done the next day. Think it cost me 200 bucks or something but seriously efficient. Don;t ring the helpline, they have no idea. Go into the branch directly.

Crystal Ball · Post by **Crystal Ball** » Mon, 28 Apr 2014 11:41 pm

Hi ukdesigner,

Can you let me know where did you find the BG that cost you only $200?

ukdesigner · Post by **ukdesigner** » Mon, 28 Apr 2014 11:51 pm

I think you'll find the answers are in the post itself.

OCBC. Go to Balestier branch but you don't have to. My experience was at that branch and the Manager was efficient. That's not to say she's still there though.

I think it's gone up but not by much, $250 maybe. I don't recall.
My BG is for $3k so not huge.

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Banker's guarantee

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