Fee Free Digital Bank Guarantees

A bank guarantee is a financial commitment by a bank that promises payment to a beneficiary.

In residential leases, tenants provide a bond held by a government authority.

In commercial arrangements, no such government bond system exists—so parties rely on bank guarantees.

For example, in a Commercial Lease Bank Guarantee, a tenant arranges a bank guarantee in favour of the landlord, typically equal to 3-6 months’ rent.

If the tenant defaults, the landlord can claim against the guarantee, with the bank paying the agreed amount without requiring proof of loss.

Bank guarantees are also common in:

• Construction contracts
• Supply agreements
• Government tenders
• Defect Insurance

MyGuarantee is a fully digital, cash-backed bank guarantee platform backed by AMP Bank. We are the sole provider of AMP bank guarantees, allowing applicants and beneficiaries to manage guarantees entirely online.

Here’s how it works :

1. The applicant (also called the principal) registers on MyGuarantee and completes due diligence checks.
2. Once approved, the applicant can create a bank guarantee by choosing a beneficiary.
3. The beneficiary is sent a link or, if already registered, they can log into approve the guarantee.
4. The applicant settles the required funds with MyGuarantee.
5. Once funds are received, the guarantee is activated and visible to both parties in the portal.
6. If a beneficiary makes a claim, MyGuarantee verifies their authority before paying the guarantee to their nominated account.

The guarantee is entirely digital, legally enforceable, and does not require a physical copy.

MyGuarantee is designed for businesses and organisations that require bank guarantees, including :

• Commercial landlords and tenants
• Construction companies
• Equipment leasing providers
• Government contract and tender participants

Both large corporations and SMEs can benefit from the streamlined digital process.

• No more paper bank guarantees or physical handling amend in real time, digitally.
• No more standing in branches to return, cancel, or demand-do it digitally.
• No more emailing back and forth on contract terms-manage this in-platform.
• No more lost guarantees-reduce fraud and operational risk.

Participants on ARCGx for digital bank guarantees are:

• Issuer : The institution / entity / bank is an issuer of the digital bank guarantee.
• Applicant (Principal) : The party that requests a guarantee, usually a tenant, contractor, or supplier.
• Beneficiary : The party in whose favour the guarantee is issued, typically a landlord, project owner, or client.

Yes. Digital guarantees are issued based on an enforceable legal framework.

Beneficiaries do not need a paper copy for a claim to be valid.

1. Log in to MyGuarantee and submit a demand.
2. We conduct verification checks to confirm the claimant’s authority.
3. Upon approval, payment is released to the nominated bank account.

Yes. Applicants and beneficiaries can download a PDF copy.

Printing is optional and not required for legal or claims purposes.

If the guarantee has an expiry date, it will automatically lapse at that time.

For open-ended guarantees, cancellation may be requested anytime.

Any remaining funds are returned to the applicant’s account.

Once your organisation is onboarded and due diligence is complete, guarantees can be created, approved, and activated within a matter of hours much faster than traditional manual processes.

We use industry-standard security, due diligence, and verification processes to protect both applicants and beneficiaries.

• Digital identity verification
• Biometric checks
• Funds are only released after thorough checks, reducing fraud risk