Help & support
A Bank Guarantee is an alternative to providing a deposit or bond directly to a supplier, vendor or landlord, known as a Favouree (or beneficiary).
Your Favouree has the certainty of knowing they’ll be paid, while you benefit from interest earned on your cash held in an eligible CommBank deposit account.
Guarantees are often used for:
If you’re an existing customer, you can apply in NetBank in 20 minutes.
We'll let you know when your guarantee is ready to collect from any of our branches.
Earn interest on your cash security in one of our eligible accounts (Business Investment Account, Business Online Saver or Term Deposit).
No financial documents are required. Just make sure you have the details for the guarantee from your Favouree.
If approved for a guarantee secured with cash, you’ll need a:
We'll let you know when your guarantee is ready to collect from any of our branches.
When secured by cash up to $1 million, with an expiry date
Charged every 6 months in advance, minimum of $250 p.a.
When secured by cash up to $1 million, without an expiry date
Charged every 6 months in advance, minimum of $250 p.a.
$250 or 0.25% of the guarantee amount, whichever is greater.
$250 for any changes made after the guarantee has been issued.
Guarantees may be available to business customers, government entities, individuals and not-for-profit organisations. You're more likely to be approved if:
This is the third party you provide the guarantee to. A Favouree must:
View our Bank Guarantee: Favouree fact sheet for more information.
You can secure your guarantee with:
We release your security when your guarantee expires, unless we've had to use it to pay a claim to your Favouree.
You can agree on an expiration date with the Favouree. This date marks the end of your obligations to the Favouree and the bank, even if you lose contact with the Favouree. It also ensures that at some point you’ll be able to get your security back, as long as there’s no claim made by the Favouree.
It’s a good idea to set an expiration date, otherwise the Favouree could make a claim after your obligation has ended and the bank is obliged to use your security to pay the Favouree.
We'll let you know when your guarantee is ready to collect from any of our branches.
To cancel your Bank Guarantee, one of the following needs to occur:
Learn more about how to cancel or amend a Bank Guarantee.
If you need to make a change to a guarantee that’s already been issued, you can:
A redocumentation fee of $250 will apply.
Learn more about how to cancel or amend a Bank Guarantee.
View our Bank Guarantee: What you need to know fact sheet for more information.
* Fees differ based on the type of security provided, amount, and expiry date for your Bank Guarantee. For Bank Guarantees covered by other assets or over $1 million, customised pricing will apply. Fees, charges and Terms & Conditions apply. Fees are subject to change. Full terms and conditions, rates and fees are included in the Offer Document. There are ongoing fees while the Bank Guarantee is active. Your final ongoing fee will be pro-rated.
This information is current as at 29 August 2024 and is for general information purposes only. It has been prepared without considering your objectives, financial situation or needs. You should consider the appropriateness of this information to your circumstances before acting on it.
Credit provided by the Commonwealth Bank of Australia. These products are only available to approved business customers and for business purposes only. This offer cannot be used to refinance existing debt or purchase an asset. Applications for finance are subject to the Bank's eligibility and suitability criteria and normal credit approval processes. View our current Terms and Conditions for Business Finance, Business Savings and Transaction Accounts, Term Deposits, Business Investment Account, Smart Access, CommBiz, NetBank, Financial Services Guide and Target Market Determinations.
