Facilities for Contractors
Bank of Palestine offers direct credit facilities to contractors that are tasked with carrying out projects. Contractors must present the project’s contract and an assignment of debt equal to the contract value for the transfer of the value of completed tasks to the account of the contractor at the bank.
Contractors Credit Facilities are offered in stages as follows:
- Sustained credit facilities up to 15% of the contract value to be paid at the rate of 15%-20% of each bill reimbursed to the account.
- Temporary credit facilities on bills up to 70% of the bill value to be paid when the bill is transferred to the contractor’s account.
- Temporary credit facilities may be offered at the rate of 50% of the value of the second bill if the first bill fails to arrive.
(The bill refers to an invoice or financial statement presented by the contractor to collect a sum of money for tasks executed and completed during each of the stages of the project implementation plan).
Features of the Program
- The program meets the needs of contractors.
- Contractors are offered facilities on the project up to 15% of the contract value.
- Temporary facilities on bills up to 70% of the value of the bill to be paid as soon as the bill is transferred to the contractor’s account.
- Temporary facilities may be offered up to 50% of the value of the second bill if the first bill fails to arrive.
- Contractors only
- Not listed on the list of customers with limited disposal authority or the black list.
- Non-existence of unpaid matured balances in other banks.
- Requires guarantees (real estate mortgage, guarantors, car mortgage, gold mortgage).
- Assignment of debt from a reliable party approved by the Bank of Palestine (municipality, ministry, CHF).
- Present bills signed by the consultant, donor party or beneficiary.
- Customers must be able to pay facility in due time.
- Required amount must be proportionate to the account transactions and purpose of facilities.
- Customers must not have an overdrawn account prior to submitting the application.