Deposit Power, which provides deposit bonds for home purchases, has acquired competitor Deposit Assure.

Deposit Power is part of the Credeq Group and has an agency agreement with HDI Global.

It has issued deposit bonds – an alternative to cash deposits for property – in Australia for more than 30 years.

A fee is paid for a bond, which is a form of insurance policy acting as a guarantee to the vendor. The bond gives the buyer time to organise cash for settlement time.

Deposit Power CEO Ryan Dinsdale says the Deposit Assure deal comes at a critical time. “In such a tight property market, Australians need a dependable alternative to cash.”

Deposit Assure CEO Etienne Rizzo says the deal “strengthens our foundation by aligning with HDI Global, a highly rated global insurer”.