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Guarantees in Banking Operations with Bank Customers

Author

Listed:
  • Vasile Dedu

    (The Bucharest Academy of Economic Studies)

  • Adrian Enciu

    (The Bucharest Academy of Economic Studies)

Abstract

In a crediting relationship, one of the parties involved – namely the creditor – is exposed to certain risks which impose taking measures to guarantee a debt. If, at the due date, the debtor cannot pay his/her debts and meet the assumed liabilities, the creditor can execute the legally constituted guarantees, on a contract basis, thus covering the debt. There are also situations when the state, being directly interested in promoting trade and cooperation with other economies or simply out of the wish to ensure a competitive and safer business environment, gets involved in insurance and guarantee operations. In such situations, the state does not interve

Suggested Citation

  • Vasile Dedu & Adrian Enciu, 2009. "Guarantees in Banking Operations with Bank Customers," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 7(07(536)), pages 37-44, July.
    • Handle: RePEc:agr:journl:v:07(536):y:2009:i:07(536):p:37-44
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    Cited by:

    1. Wu, Binghui, 2018. "Asset securitization and rate of return: A study on letters of guarantee," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 490(C), pages 1551-1554.

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