📘 Knowledge Base

Confirmation of Co-Signatory / Assignment — FAQ

❓ What is the Confirmation of Co-Signatory / Assignment?

The Confirmation of Co-Signatory / Assignment is a formal affidavit confirming that U.S. Capital Private Bank has been added as a co-signatory, co-assignee, or beneficiary to a specific asset.

This allows the asset to be used institutionally for:

• Collateral support

• Credit enhancement

• Instrument issuance

• Transaction execution

It does not automatically mean the asset is sold or forfeited.

❓ When is this document required?

This document is typically required when:

• An asset is being used instead of cash to support a transaction

• U.S. Capital is deploying its own funds or balance sheet

• The client does not have sufficient liquid cash for transaction costs

• The asset must be recognized institutionally for banking purposes

It is most common in asset monetization and structured transactions.

❓ Why does U.S. Capital need to be a co-signatory or assignee?

Banks and counterparties cannot rely on assets unless they have:

• Legal rights of use

• Recognized beneficiary status

• Clear authority during the transaction period

Adding U.S. Capital as co-signatory or assignee:

• Allows the bank to stand behind the transaction

• Enables collateral substitution or credit enhancement

• Protects all parties legally and operationally

❓ Does this mean I lose ownership of my asset?

Not necessarily.

Depending on the structure:

• Ownership may remain with the client

• Rights may be temporarily assigned for transaction purposes

• The asset may be held in trust or bonded custody

Each arrangement is transaction-specific and disclosed in writing.

❓ Why is this document irrevocable?

Irrevocability ensures:

• Transaction certainty

• Protection for banks and counterparties

• That assets cannot be withdrawn mid-transaction

This is required for institutional credibility and risk management.

❓ What types of assets use this document?

This document may apply to:

• Precious metals

• Commodities

• Gems

• Financial instruments

• Legacy or non-performing assets

• Other valuable tangible or documented assets

The key factor is verifiable value, not asset type.

❓ Why does the document reference custody and blocking of assets?

Assets used to support transactions must:

• Remain in controlled custody

• Not be moved, sold, or encumbered

• Stay available for the duration of the transaction

Blocking ensures the asset remains available and unimpaired.

❓ What is meant by “use on the balance sheet”?

During the validity period, U.S. Capital may:

• Recognize the asset for collateral support

• Use it for credit enhancement

• Support issuance of instruments

This allows transactions to proceed even when other banks cannot accept the asset directly.

❓ Why are proof of life and verification documents required?

To confirm:

• The asset exists

• The client possesses or controls it

• The asset is authentic and current

This protects against fraud, substitution, or misrepresentation.

❓ Is this document a funding guarantee?

No.

The Confirmation of Co-Signatory:

• Does not guarantee funding

• Does not promise profits

• Does not override compliance or risk review

It enables structuring, not automatic approval.

❓ How does this relate to the Smart Plan Agreement?

This document operates under and alongside the Smart Plan Agreement.

The Smart Plan governs:

• Process

• Authority

• Engagement terms

The Co-Signatory Confirmation governs:

• Asset use

• Rights

• Collateral support

Each serves a distinct role.

❓ How long does the co-signatory status last?

The duration is defined in the agreement and typically lasts:

• For the life of the transaction, or

• Until obligations are fulfilled

Assets are released once conditions are satisfied.

❓ Who should I contact with questions about this document?

All inquiries should be directed to U.S. Capital Private Bank through official channels.

Email: [email protected]
Website: https://uscapitalprivatebank.com
Phone: +971 52 992 6005

🧠 In One Sentence

“The Confirmation of Co-Signatory allows U.S. Capital to legally stand behind a transaction by using an asset institutionally, often in place of cash.”