Lease Guarantee Bond
You are a ______ Bank credit card holder, you’ve signed a lease, and your new Landlord is waiting for you to provide evidence of your Lease Guarantee Bond. Read More below.
FAQ’s- Frequently Asked Questions
- What is a Lease Guarantee Bond? The Lease Guarantee Bond is a promise by a large insurance company (the “Insurer”), to pay the Landlord should you breach any of your obligations of your lease. If the Insurer pays out money to the Landlord under the bond, you become obligated by law to re-pay the Insurer. The Bond is subject to a bond “Limit”. The Limit is the maximum the Bond will pay out.
- Why should I consider a lease guarantee? Landlords want to make sure that you are able to fulfill your obligations under the lease, principally to pay your rent. Many Landlords require that you provide an employment letter, but since you come from another country, this letter is often not accepted by Canadian Landlords. Other Landlords require large security deposits beyond the standard one month (sometimes illegally) which they hold on your behalf. With out an employment letter or a large security deposit, some Landlords won’t rent the apartment to you. Landlords which promote their apartments on the Prepare for Canada, Landlord Web solutions site are waiting for you to provide evidence of a Lease Guarantee Bond. Once you purchase this Lease Guarantee Bond, a copy will be sent to the Landlord automatically and electronically.
- How will a lease guarantee help me? The Lease Guarantee Bond provides you with a financial instrument which many Landlords will accept to demonstrate your obligations under the lease, in lieu of asking for a large security deposit (beyond the one month standard), and in lieu of asking for an employment letter.
- How does the lease guarantee work?
- What do I need to apply for the lease guarantee? What information do I need?
- When should I apply for the lease guarantee?
- How much does the lease guarantee cost?
- How do I get a price (i.e., a ‘quote’)?
- Who is the insurer? The Lease Guarantee Bond is provided by Trisura Guarantee Insurance Company, a Canadian Insurer Rated by A.M. Best as A+ (Superior).
- Am I eligible for Directors Global Lease Guarantee?
- Is this a loan or insurance?
- How long will the process take?
- Which provinces is the lease guarantee available?
- Which landlords accept the lease guarantee?
- What happens if a claim is made?
- What to happens if you can’t pay a claim?
- How is my bond guaranteed?
- How do claims work? What can I expect?