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Why choose Westpac

  • Support from a dedicated team of bank guarantee specialists
  • Competitive fees
  • Easy application process

What is a bank guarantee?

It is a written promise on your behalf that a financial institution like Westpac will make a future payment to the beneficiary if they make a claim on the bank guarantee. With a bank guarantee, you don’t need to pay an upfront deposit to the beneficiary for things like a rental or retention bond.


Earn interest on cash security 

Your cash security grows in value because it’s held as a term deposit

Flexible terms

Choose an amount from $5,000 with an expiry date that aligns with your needs

Dedicated support team

Save time with a specialist service team that will guide you through the end-to-end application process 

Rates and fees

Fees for cash-secured bank guarantees up to $250,000

Service fee

2.50% p.a

with expiry dates of up to 5 years ($200 p.a. minimum)#

3.00% p.a.

with expiry dates longer than 5 years or with no expiry ($240 p.a. minimum)#

Service fees are charged half-yearly in advance.

Establishment fee

$250 for cash-secured bank guarantees#

Contact us about fees for bank guarantees over $250,000 secured using cash or other assets.

Eligibility criteria

You and the beneficiary must be a tax resident of Australia and are one of the following:

  • A business
  • A government entity
  • An individual
  • A not-for-profit organisation


The bank guarantee must be:

  • used for business purposes
  • issued in Australian dollars


How to apply

1. Have the following details handy:

- Beneficiary’s legal name or if it’s a business, the beneficiary’s ABN or ACN

- Beneficiary’s address (no PO boxes)

- Bank guarantee purpose 

- Amount ($5,000 minimum) 

- Expiry date


Note that you’ll be required to open a term deposit to secure your bank guarantee. If you’re a new Westpac customer, you’ll need to visit a branch to verify your identity before applying.

2. Contact us to discuss your requirements. 
3. Collect your bank guarantee from a branch (bank guarantees can only be issued in paper form).

Need more information?

Get the details on how bank guarantees work.

Find out more

Frequently asked questions

Bank guarantees can only be used for business purposes. The purpose should specify what the bank guarantee is for. Examples include: 

  • Security deposit bond: A deposit or bond for contractual obligations related to the business e.g. Suite 1, Level 1, ABC street, Sydney NSW 2000
  • Lease/rental bond: A rental bond for a commercial lease e.g. Lot 1 Unit 1, ABC St, Sydney NSW 2000  
  • Contract performance guarantee: A bond to a business supplier for the delivery of goods or services e.g. Project Terex Valley Subcontract no. WQX114
  • Retention bond: Retentions being withheld under construction contracts e.g. retention for construction works at A04 utility room project SOW-C884. 
Things you should know

Credit criteria, fees, charges, terms and conditions apply. Talk to your banker for more details.  

#Quoted fees are only applicable to cash-secured bank guarantees up to $250,000. Subject to Westpac’s normal lending criteria. Contact us for more information.