Deposit Bond Calculator

Calculate the Required Bond Amount

The required bond amount is the contract purchase price multiplied by the deposit percentage you want guaranteed. For an agreed guarantee amount, select Bond amount and enter it directly. The starting fictional purchase is $850,000 with a 10% deposit, which gives an $85,000 bond.

A deposit bond guarantees the contract deposit in place of an upfront cash payment. The bond amount is separate from the premium you pay to arrange it. Deposit Power's explanation confirms that the buyer still pays the full purchase price at settlement when the bond replaces the whole cash deposit.

If the seller agrees to a part-cash deposit, enter only the portion the bond must guarantee. For an $85,000 deposit split into $20,000 cash and a $65,000 guarantee, select Bond amount and enter $65,000. This calculator does not deduct cash automatically.

Estimate the Deposit Bond Fee

The deposit bond fee calculator uses the pricing you enter. Its fee result starts blank because it includes no insurer rate or premium schedule. Choose the basis that matches your assumption.

• Total term applies your percentage to the bond amount once, for the whole selected term.
• Annual simple applies your annual percentage to the bond amount, then multiplies it by the number of months divided by 12.
• Entered fee uses the premium amount you supply, before a separate fixed charge.

If you enter a minimum premium, the calculator uses the higher of that minimum and the calculated or entered premium. It then adds any fixed charge. A minimum or extra charge alone leaves the fee blank until you supply a rate or premium.

Only Annual simple changes the estimated premium automatically when you change the term. An insurer's actual pricing can use term bands or other conditions. A total-term rate or entered fee must be replaced when the applicable quote changes.

Include the applicable taxes in the amounts or rate you enter. The tool adds no tax and makes no assumption about an issuer's tax treatment. Results display whole-dollar estimates, while the calculation and downloaded CSV retain unrounded values.

Read the Amount and Fee Together

The $85,000 starting bond is the amount guaranteed, while the illustrative fee is a separate cost. Leave pricing empty to see the bond amount without an assumed fee.

For a fictional fee example, select Entered fee and enter a $1,200 premium plus a $75 extra fixed charge. The result is a $1,275 fee beside the $85,000 guarantee. These entered amounts demonstrate the arithmetic and are not an insurer price.

Change the entered premium to $1,500 and the fee becomes $1,575. Changing the term alone leaves that entered-fee estimate unchanged. For an explicitly annualised assumption, doubling the term doubles the calculated premium before an entered minimum or fixed charge is applied.

The result is neither an insurer offer nor an eligibility decision. The bond amount does not count as money already contributed towards the purchase price. All inputs and results stay in this page's memory, with no quote request or borrower details collected.

Confirm Acceptance and Settlement Funds

The seller must accept the bond, the insurer must approve the application and the buyer must still fund settlement. Deposit Power recommends confirming seller acceptance before signing. The selected term also needs to cover the purchase's timing.

Use the deposit bond guide for the purchase workflow, including acceptance, expiry and funds-to-complete checks. Obtain the issuer's quote for the required amount and term before treating your entered fee as the purchase's actual cost.