Customs guarantee
From ACT Wiki
Trade finance.
A customs guarantee is a guarantee supplied by an importer in favour of the a revenue authority, for example HM Customs & Revenue in the UK.
The customs guarantee is issued by a bank or insurance company in favour of the revenue authority.
It guarantees that the import duty on imported goods will be paid, enabling the business to import and distribute goods before payment of the import duty.
Also known as a customs bond.
