31 C.F.R. Â§ 224.6 - Sample Power of Attorney. A surety appointing an individual as its process agent, pursuant to 31 U.S.C. Â§ 9306 and 31 C.F.R. Part 224, may use the following language to meet applicable power of attorney requirements. While use of this sample language is not required, any power of attorney filed should use substantially the same terms:
A letter of credit is a liability for the bank because it is an obligation to pay out money. On the other hand, a bank bond is essentially an insurance product, so it counts as an asset: If everything goes smoothly, the bank keeps its fee and does not need to pay the bondholder.
They make money largely through loans. A bank loan is an arrangement in which a bank gives you money that you repay with interest. Loans are distinct from revolving credit accounts, such as credit cards or home equity lines of credit, which allow you to continually borrow and repay up to a certain amount.