Money St takes the "mystery" out of bank terminology with this Glossary of Terms.

A-E | F-S

A++
An insurer rated ‘A++’ has SUPERIOR capacity to meet its financial commitments as stated by A.M. Best Company.

Claim
When the vendor demands payment under the deposit bond for the 10% deposit because the purchaser is in default of his obligations under the contract of sale.

Counter Indemnity Agreement
The Deposit Bond is issued to the vendor on the basis that you will pay the vendor the deposit amount on the settlement date of the purchase.
The vendor can claim the amount specified in the bond if you fail to complete the purchase. The Counter Indemnity Agreement you complete and sign in the application form gives the bond company the right to recover this amount from you.



Default
When the purchaser fails to complete the purchase under the contract of sale and the vendor demands payment under the deposit bond for the 10% depositt.

Deposit Access
One of the largest writers of longer-term Deposit Bonds (6 months to 48 months) backed by Great Lakes UK (PLC) a subsidary of Munich Re, the worlds largest reinsurer.

Deposit Bond
A Deposit Bond is a guarantee of payment provided to the Vendor for all or part of the deposit required when purchasing a property. In short The Deposit Bond gives the Vendor (the seller) security against which they can claim if, for instance, (the purchaser) fails to complete the transaction.

It' s not in your glossary of terms?
If you still need an answer, and it’s not provided here, simply e-mail us with your enquiry. We will give you the information, and update our Glossary of Terms. E-mail us: info@moneyst.com.au