I am frequently asked two questions about required bidder deposits. I will shed a little light on the function of deposits. Understanding these aspects is crucial for a smooth and transparent auction experience.
Firstly, many of you have asked, “Why do you require a deposit when I want to bid on a plane?”
The deposit serves several important purposes:
- A deposit ensures that all bidders are serious and committed, maintaining the integrity of the auction. This prevents disingenuous bidders from driving up the price artificially.
- By placing a deposit, bidders demonstrate their accountability and commitment to follow through with the purchase if they win.
- The deposit becomes part of the winning bidders purchase. Think of it as earnest money you would typically deposit into escrow when writing a contract on an aircraft purchase.
- For those who don’t win the bid, rest assured that your deposit will be promptly refunded.
The second question we often receive is, “When do I get my deposit refunded if I do not win the auction?”
We handle your money with the same care and respect we would expect for our own. Typically, refunds are initiated within 3 business days following the auction’s close.
If you made a wire deposit, you’ll receive a Panda Docs request for your banking information to process the refund. Alternatively, if you prefer a paper check, just let us know. If we don’t receive your banking details by the end of the third business day after the close of the auction, we’ll automatically issue a paper check.
In terms of official timelines (yes, the legal stuff), here’s what you need to know:
- For a successful auction, refunds are processed within 7 business days of the winning bidder funding their escrow.
- In the case of a cancelled auction, refunds are also issued within 7 business days of the auction’s end.
- All auctions, regardless of escrow funding status, refunds are guaranteed within 30 business days following the auction end.
We hope this clarifies any questions you might have about the deposit process. As always, we’re here to ensure your bidding experience is as seamless and enjoyable as possible.
Our Cockpit Concierge Agents are always here to answer questions and assist in any way our sellers and bidders need to list and bid confidently.