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GOVERNMENT OF KERALA Abstract Finance Department Revision of tender fee , Earnest Money Deposit, Performance Guarantee etc modified orders issued .1(INDUSTRIES & PUBLIC WORKS B) DEPARTMENT Dated,.

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Earnest Money, also known as Earnest Money Deposit or EMD, is a form of deposit that buyers pay sellers in good faith as an assurance of interest in purchasing high-ticket items or while making significantly large transactions.

EMD stands for Earnest Money Deposit. It is taken by the organization to ensure that only serious bidders participate in the tender.

The EMD will not carry any interest. Unsuccessful Bidders‟ Bid security will be returned after completion of tender process. Unsuccessful Bidders should submit the Letter for Refund of EMD/Bid Security for returning of the bid security amount as per Annexure T.

The earnest money may be held by the seller's real estate broker, but the money may also be held in escrow by a third-party title company, lawyer, or bank. The purchase and sale contract specifies where the deposit is held.

Earnest Money Deposit (EMD) means Bid Security/ monetary or financial guarantee to be furnished by a tenderer along with its tender. EMD deposited by the unsuccessful tenders will be refunded by way of handing over the original Demand Draft/ Bankers Cheque duly endorsed by the Competent Authority of the Centre.

Earnest money has become standard, especially in today's competitive real estate markets. The purpose of earnest money is to tell the seller that you're serious about purchasing the home. By backing up your offer with some cash, a seller is more likely to trust that you'll follow through with the home purchase.

The funds remain in the trust or escrow account until closing. That's when they get applied to the buyer's down payment or closing costs. Alternatively, you can receive your earnest money back after closing.

This is one of the main differences between earnest money and security deposit. There is a ground of reliance in the case of security deposits whereas there is no ground of reliance in the case of earnest money. The lender will only exhibit faith on the receiver in the case of earnest money.

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© Copyright 1997-2025
airSlate Legal Forms, Inc.
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Form Packages
Adoption
Bankruptcy
Contractors
Divorce
Home Sales
Employment
Identity Theft
Incorporation
Landlord Tenant
Living Trust
Name Change
Personal Planning
Small Business
Wills & Estates
Packages A-Z
Form Categories
Affidavits
Bankruptcy
Bill of Sale
Corporate - LLC
Divorce
Employment
Identity Theft
Internet Technology
Landlord Tenant
Living Wills
Name Change
Power of Attorney
Real Estate
Small Estates
Wills
All Forms
Forms A-Z
Form Library
Customer Service
Terms of Service
Privacy Notice
Legal Hub
Content Takedown Policy
Bug Bounty Program
About Us
Blog
Affiliates
Contact Us
Delete My Account
Site Map
Industries
Forms in Spanish
Localized Forms
State-specific Forms
Forms Kit
Legal Guides
Real Estate Handbook
All Guides
Prepared for You
Notarize
Incorporation services
Our Customers
For Consumers
For Small Business
For Attorneys
Our Sites
US Legal Forms
USLegal
FormsPass
pdfFiller
signNow
airSlate WorkFlow
DocHub
Instapage
Social Media
Call us now toll free:
+1 833 426 79 33
As seen in:
  • USA Today logo picture
  • CBC News logo picture
  • LA Times logo picture
  • The Washington Post logo picture
  • AP logo picture
  • Forbes logo picture
© Copyright 1997-2025
airSlate Legal Forms, Inc.
3720 Flowood Dr, Flowood, Mississippi 39232