As I understand it, it’s sort of like a bank acting as an escrow account where the landlord could draw from their account directly with a contractual guarantee

As I understand it, it’s sort of like a bank acting as an escrow account where the landlord could draw from their account directly with a contractual guarantee from the bank that the funds would be there. https://en.wikipedia.org/wiki/Letter_of_credit https://en.wikipedia.org/wiki/Letter_of_credit