Standby Letter of Credit.
DEALEXUS structures and runs Standby Letter of Credit deals transmitted via SWIFT MT760. ISP98 rules enforced. Every party signs an NCNDA before anything is shared. Every introduction on the record from day one.
Commodity trader
Back your purchase with a bank guarantee.
SBLC issued by your bank, transmitted MT760 to seller's bank. Collateral declared, SWIFT authenticated.
Finance broker
Your 45% share recorded in a signed IMFPA.
IMFPA signed at step 4, with the agreed fee schedule fixed in it. Every introduction is on an append-only record.
Bank officer
Receive a complete, ISP98-aligned instruction package.
Instrument terms acknowledged by every party before the package reaches you. Your bank drafts the MT760.
What is an SBLC?
The instrument explained.
A Standby Letter of Credit (SBLC) is a bank guarantee of payment issued by a financial institution on behalf of a client (the applicant) in favour of a beneficiary. Unlike a documentary LC used in trade transactions, an SBLC is a standby instrument — it is called upon only when the applicant fails to fulfil a contractual obligation.
In international trade finance, SBLCs are transmitted bank-to-bank via SWIFT MT760 — a SWIFT Category 7 message format governed by the International Standby Practices (ISP98), ICC Publication 590. The MT760 is the electronic message that carries the SBLC from the issuing bank to the advising bank.
Commodity traders use SBLCs to back purchases of crude oil, minerals, agricultural products and metals. Corporate borrowers use them as credit enhancement. Project finance structures use them as performance bonds. In all cases, the instrument is only as good as the issuing bank and the compliance chain behind it.
ISP98
Governing Rules
SBLCs are issued under ICC ISP98 (International Standby Practices), the global standard for standby letters of credit. The term sheet DEALEXUS hands the issuing bank states the governing rules, expiry and drawing conditions the parties agreed.
SWIFT CAT.7
Transmission Standard
Instruments are transmitted bank-to-bank via SWIFT Category 7, November 2025 standards. No email. No PDF chains. The MT760 goes from issuing bank SWIFT key to advising bank SWIFT key — authenticated and verified.
MT760
The Message Format
SWIFT MT760 (Guarantee / Standby Letter of Credit) is the precise message type used to issue and transmit SBLCs. The issuing bank drafts and sends the MT760; DEALEXUS hands it a term sheet every party has acknowledged.
CASH-BACKED
Common Collateral Types
Cash-backed (funds fully blocked in account), unencumbered assets, sovereign bonds, and credit-backed SBLCs are all supported. The collateral declaration is signed by the sender principal as part of the bank package.
How DEALEXUS handles SBLC MT760
From NCNDA to MT760 in eight steps.
Server-enforced · audited · every introduction on the record
DEALEXUS enforces the complete SBLC deal lifecycle as a server-side state machine. No party can skip ahead. The bank package goes to the issuing bank only after both sides have executed their agreements and every party has acknowledged the term sheet; the bank then drafts and sends the MT760.
- 01
NCNDA
- 02
KYC / CIS
- 03
DOA
- 04
IMFPA
- 05
TERM
- 06
Bank package
- 07
MT760 · in development
- 08
Closed
Instrument specifications
SBLC MT760 deal parameters.
| Instrument type | Standby Letter of Credit (SBLC) |
|---|---|
| SWIFT message | MT760 — Guarantee / Standby Letter of Credit |
| Governing rules | ISP98 (ICC Publication 590) · UCP600 applicable on DLC |
| SWIFT category | Category 7 · Financial Institution Guarantees · Nov. 2025 Std. |
| Transmission | Bank-to-bank via authenticated SWIFT key. Never email. |
| Tenor | Typically 1 year + 1 day (366 days). Configurable per deal. |
| Collateral types | Cash-backed · Unencumbered assets · Sovereign bonds · Credit-backed |
| Minimum face value | USD 5,000,000 equivalent |
| Supported currencies | USD · EUR · GBP · CHF · AED · SGD · CNH |
| Commission split | 45 / 45 / 5 / 5 — sender broker / receiver broker / sender mandate / receiver mandate |
| Fund holding | DEALEXUS currently holds no client funds. |
| Compliance | FATF · OFAC · EU Sanctions · UN Security Council · BSA · MAS |
Commission split — recorded in the IMFPA (step 4)
Of a pool equal to 1% of face valueThe schedule is fixed in the IMFPA once it is signed at step 4. Each side's principal owes its side's share and the issuing bank disburses it; DEALEXUS holds no client funds.
Structure your SBLC MT760 on DEALEXUS.
The same eight-step sequence for every deal, with the fee schedule recorded in the signed IMFPA.