Monetary Policy Report Press Release: December 2017 BOX Monetary Policy Report Implications of the electronics technology life-cycle and the rise of the Internet of Things for Asiaâs exports Developments in the unrated bond market and implications for financial stability
What is the difference between a surety bond and a bank guarantee? Surety bonds are typically conditional whereas bank guarantees are on demand. Only the performance risk lies with the surety, where the bank has the financial risk on the construction project.
A surety bond or security bond is a guarantee from a third party company that any unpaid rent and or damages to a rental property will be covered, up to a certain amount. Some landlords mistakenly think of surety bonds as insurance, but experts explain that it is not insurance. Surety bonds are purchased by tenants and are non-refundable alternatives to security deposits, which can often be hefty lump sums. At a fraction of the cost of security deposits, which can range from 1-3 times the monthly rent, a security bond provides the same protection (up to the amount of the bond).