A Banker's Guarantee is an independent undertaking by the Issuing Bank agreeing to pay a specific amount if the claim conditions are met, for example applicant default or non-performance.

A Banker's Guarantee must clearly state the specific purpose, amount payable, expiry date (including the claim period), the conditions that trigger a claim, together with the documents required.  

Banker's Guarantees are usually subject to the Uniform Rules for Demand Guarantees 758.