What's the difference between company guarantee and bank guarantee?

A bank guarantee, also known as a letter of guarantee, refers to a written credit guarantee certificate issued by a bank, an insurance company, a guarantee company or a guarantor to the beneficiary at the request of the applicant, so as to ensure that the guarantor will perform certain payment or economic compensation responsibilities for the applicant within a certain amount and within a certain period of time when the applicant fails to fulfill its responsibilities or obligations as agreed by both parties. At present, the most commonly used bank guarantees are: bid guarantee, performance guarantee, payment guarantee and advance payment guarantee. \x0d\ A company letter of guarantee is a letter of guarantee issued by the company, which is guaranteed by the company's credit. There are two kinds of company guarantees: one is that the applicant provides a letter of guarantee to the bank. Second, there is a special credit guarantee company as a third party to open a letter of guarantee for the client to the bank or beneficiary. \ x0d \ x0d \ The main differences are: \x0d\ 1. Bank guarantee is bank credit and company guarantee is commercial credit. \x0d\2。 Bank guarantee is mostly used in international trade and international guarantee business. Corporate guarantees are mostly used to guarantee domestic companies to lend to banks. \x0d\3。 Company guarantees need to be audited by banks, and bank guarantees are banks' own behaviors. \ x0d \ x0d \ When the beneficiary makes a reasonable claim under the letter of guarantee, the guarantee bank must bear the responsibility for payment regardless of whether the client agrees to pay or not, and regardless of the actual facts of contract performance. That is, the letter of guarantee is an independent commitment and basically a documentary transaction business.