Think about it: Most bank instruments in the amount of US $10 million and more are owned by the most affluent corporations and individuals in the world. Do you really think they would allow you to use it as collateral for risky transactions, all for just a 4-14% fee per year? Still thinking that a leased bank instrument would be a valid tool without restrictions would be ignorant. For the party owning the instrument this small fee would not be worth the risk.
The report shows ways for project funding based on third party collateral, the requirements and a summary of what can be done and what is not permitted. If you seek credit enhancement, you will first of all have to be aware of the exact definition of leased financial instruments, credit support Instruments and their use.
Also, the big question: Where is the instrument sent to? Is the receiving institution the bank of the lessee, or the bank of a provider of products or services of you? Why does this make all the difference? The report explains reason and fallacies, how leased instruments are commonly used and it explains what instrument is best and should be leased in your transaction.The report also explains what an accommodation Letter of Credit is, how it is structured and how it can be used.
This paper is free and can be ordered on the website of Selective Financial Services http://SelectiveFinancialServices.com/report asking fo report number 55.