Originally Posted by RigelKent
Does anybody from Australia
know what they call an escrow account in Australia
? I'm getting nowhere googling this for results in Australia. There is probably a local term for this I don't know.
Yeah. Its called a Bank Guarantee. You put the money
in an account and register an agreement between you and whoever that someone can call on the money
. The rights to call on the money aren't policed by the bank, that's done with a contract
between the parties. These are used in construction to secure an amount that can be clawed back by the building owner from the building contractor if they make a mess of the job.
It's a bit overblown for this kind of transaction, and more typically in Aus you'd use a Solicitors Trust Account arrangement. This is pretty safe, but occasionally the solly goes bust and raids his own trust account.
Good thread BTW - I'm now getting down to tin tacks on my purchase
, and I need to sort this stuff out.