BANK GUARANTEE for Carnet in UK
I'm just starting to apply for my Carnet for a trip starting in September. I know through the RAC there are 2 ways to 'underwrite' the value required for the bike/carnet/potential taxes - Bank Guarantee or Insurance through R.L.Davison.
Everyone seems to mention the insurance route, which causes cash-flow problems of £350 plus whatever charges they make (would be £420 for me I think).
I looked at the Bank Guarantee form, and thought I'd give it a try first. Landlords often require that similar letters to be sent to them by a Bank before renting property and the charge is minimal (c£10-15 depending on your bank I think).
The staff didn't seem to have a clue and tried to get me to send it to their lawyers at the head office however I saw the manager was helpful and just used my V5 document to fill the form in. It's to be sent away to be 'processed' today (to the same place that they send the rental guarantee forms to if your bank is similar).
I also gave the RAC a call to see if the banks do actually sign up to their form and the lady assured me that they do get them signed by banks.
What I'm trying to point out is that by no means do I have the amount that would be required in my account to cover any potential payout, however hopefully just by popping into a branch and then waiting for what I expect will be a week or two I will hopefully have saved myself fair few hundred £££.
Am I therefore missing something here as I cannot understand why so many people seem to opt for the insurance choice. Is it likely that I will be 'rejected' as I do not have the funds in my account? Hopefully I haven't spoken too soon as I don't have a signed form yet but hopefully this will prove useful to anyone in the UK applying.
Last edited by Chris of Motocross Africa; 18 Jul 2007 at 15:19.
Reason: Because I like to edit