- Can I obtain a refund if I don’t use the Deposit Guarantee?
- Can I use the Deposit Guarantee at auctions?
- What do I need to do to apply?
- When does the Deposit Guarantee expire or terminate?
- Will the vendor accept the Deposit Guarantee?
Can I obtain a refund if I don’t use the Deposit Guarantee?
Yes. If you return the unused, original Deposit Guarantee Certificate within 30 days of issue the fee will be partially refunded. An administration fee will be deducted and the balance will be refunded to you.Can I use the Deposit Guarantee at auctions?
Yes. A Short Term Deposit Guarantee can be issued prior to you attending an auction. The Deposit Guarantee amount is fixed, but not the property details, so you can attend a number of auctions. You simply complete the vendor and property details on the Deposit Guarantee Certificate when you are the successful bidder.What do I need to do to apply?
To apply, you just need to contact us and complete an application form. You will need to show that you have sufficient funds to complete the purchase at settlement. Examples include:- A loan approval
- A copy of the Contract for property sold that will assist in the purchase of the new property
- Funds accessible prior to the completion date, such as savings, a fixed term deposit, or share certificates
- Evidence of other funds that will assist in the purchase such as the First HomeOwners Grant.
When does the Deposit Guarantee expire or terminate?
The Deposit Guarantee ceases when the Contract of Sale is completed, terminated or rescinded or when the expiry date on the Deposit Guarantee occurs, whichever happens first.Will the vendor accept the Deposit Guarantee?
The Deposit Guarantee is legal and available throughout all states and territories in Australia. It is at the discretion of the vendor whether to accept a Deposit Guarantee in lieu of a cash deposit. However, the vendor is often keen to obtain a contract of sale on the property and secure a deposit commitment from the purchaser. The Deposit Guarantee can usually be organized within 24 hours.
It is recommended that a Suggested Special Condition is inserted or annexed to the Contract of Sale. This condition will amend the deposit provisions and allow the Deposit Guarantee to be used.