Can a deposit bond be used at auctions?
Yes. Prior to attending an auction a short term deposit bond can be issued. The amount of the bond is fixed, but the property details are not, so you can attend a number of auctions. When you are the successful bidder, you simply complete the vendor and property details on the guarantee certificate.
How long is a deposit bond valid for?
The deposit bond expires at the earliest of:
- The completion of the Contract of Sale; or
- The Guarantor paying the amount required to be paid under the Guarantee; or
- The termination or rescission of the Contract of Sale and, in either case, the Vendor’s acceptance in writing the termination or rescission and the Purchaser is entitled to a refund of the deposit; or
- 5:00pm Sydney time on the earliest of the Date of Expiry or, if the Date of Expiry falls on a weekend or a public holiday in Sydney, the business day immediately preceding.
Are there refunds for unused deposit bonds?
Yes. The fee will be partially refunded if you return the unused, original deposit bond certificate within 30 days of issue. An administration fee will be deducted and the balance will be refunded to you.
The deposit bond is legal and available read more….