Deposit Bond Australia

Deposit Bond Australia

According to the Australian Securities and Investments Commission, the Deposit bond act as a financial agreement that can be used in place of the deposit and occurs when the buyer exchanges contracts on a property, thus guaranteeing to the seller that the buyer will pay the full deposit on an agreed date.

The fact DBA is an Australian-owned business operating in association with an Australian A+ rated Underwriter means that all Deposit Bond processes are managed in Australia, with all customer information securely stored onshore. DBA deals both directly with Consumers and administers its accredited Referrer programs for an extensive distribution network comprising Australian Lending Institutions, Aggregator, and Mortgage Broking organisations.

Features and Benefits of Deposit Bond Australia

Some of the features and Benefits of Deposit Bond Australia can be well discussed as follows-

• The DBA is reliable, secure, and creditable- DBA has been the authorised Deposit Bond Issuer since March 1998. Currently, they approve Deposit Bonds on behalf of the Underwriter QBE Insurance (Australia) Limited.
• The efficiency of the Deposit bond issued by DBA- The Deposit Bonds is more accessible to clients as it is the unsecured bond.
• Qualified purchasers give Vendors the required confidence in the market- Over the past 19 years, over 99% of all DBA’s qualified purchasers have settled without facing any incident.
• The efficient acts very quickly and helpful- From the year 1998, DBA has built its reputation for consistently providing reliable and efficient services to their clients.
• No prior loan approval is required- DBA always conducts in-house credit assessments for the entire loan procedure.
• By choosing DBA you can make your money work harder- When you are using the DBA-issued Deposit Bond the purchaser does not need to pay any deposit money by drawing on existing lines of credit or selling other investments.
• They think and act in a cost-effective way- Whether interest rates are high or low, the cost of deposit bonds compares very well with Purchasers using borrowed funds or bank guarantees for their deposit.
• No need to pay the interest- No interest rate is payable; the deposit bond is paid to DBA on approval.
• More product variation in meeting the requirements- The deposit bonds suit a wide variety of needs in the marketplace.
• Varied property types mean varied opportunity- Residential as well as commercial are accepted property types for the Deposit Bonds issued by DBA.

Services Offered by Deposit Bond Australia

The variety of services offered by Deposit Bond Australia can be discussed as follows-

The Deposit Bond- This is the financial guarantee that has been accepted as a legal substitute for the cash deposit required for the cash deposit that is required by the vendor to be paid by the Purchaser when committing to buy property. The Deposit Bond value can be for any amount up to 10% of the agreed purchase price. Purchaser must then pay 100% of the agreed Contract price plus acquisition costs at the time of settlement.

It is to be noted that if the purchaser defaults, then under the terms of the Contract, the Vendor will become entitled to retain the deposit. As an unconditional guarantee, the Underwriter is legally obligated to pay the Vendor’s/deposit holder’s claim on demand within the terms stipulated on the Deposit Bond. Once paid, the Underwriter has a full legal right of recovery against the Purchasers and Guarantors.

The QBE deposit bonds are accepted all across the Australian state and territories.

Deposit bond benefits-

For instance, the purchasers are not required to provide any form of security and thus allowing you to retain full flexibility of your assets

• Cash Savings that are neither used nor quarantined
• Fixed-term deposits are kept intact without the risk of incurring hefty premature break charges
• Share portfolios can be held, avoiding any need to redeem at an inopportune time risking diminished capital value or loss of dividend

For the second instance, for qualifying, the purchaser must have for proving their financial capacity to settle by written evidence of

• Sufficient equity in hard assets (real estate, public company shares, and fixed-term deposits) owned at the time of application.
• The adequate income to service all current and the proposed liabilities

The competitive price of the Bond- The annualised cost of Residential Deposit Bonds ranges from 1.25 – 3.3%, which is particularly cost-effective and compares favourably with alternate deposit options.

The Combination Deposits- This is very useful when there is a requirement for payment of a 10% deposit can adversely impact a purchaser’s ability to buy their home. These bonds can be used in conjunction with cash deposits. This reflects the combination of a 5% deposit bond and 5% savings.

The DBA provides the deposit bonds of

• Residential Deposit Bonds from 6 weeks to 60 months
• Commercial Deposit Bonds for up to 48 months
• Common Usage: Individual or Corporate Owner Occupiers or Investors; First Home Buyer; Self-Employed; Retiree; Company Trust and SMSF Applicants.

Deposit Bond Australia Opening Hours

Given below are the contact details of Deposit Bond Australia, which you can use in case of any doubts or queries:

Day of the Week	Opening Time (AEDT)	Closing Time (AEDT)
Monday	9.30 AM	4.30 PM
Tuesday	9.30 AM	4.30 PM
Wednesday	9.30 AM	4.30 PM
Thursday	9.30 AM	4.30 PM
Friday	9.30 AM	4.30 PM
Saturday	closed	closed
Sunday	closed	closed

 

Deposit Bond Australia Contact Details

Given below are the contact details of Deposit Bond Australia, which you can use in case of any doubts or queries:

Heart Land Bank Address	Suite 402/83 Kippax St, Surry Hills NSW 2010, Australia
State	New South whales
City	Australia
Heart Land Bank Phone Number	1800 266 388
Customer Care Number	1800 266 388
Phone (Heart Land Bank Complaints Number)	(02) 9966 1044
Heart Land Bank head office Address	Suite 402/83 Kippax St, Surry Hills NSW 2010, Australia