Underwriter
A securities broker or dealer that purchases bonds from an issuer and resells them to investors.
bond-basics
Good Faith Deposit
The amount, if any, required to be paid to the Issuer by the Underwriter at the time the Bonds are sold, which serves as the amount retained by the Issuer as compensation for any damages caused to the Issuer by the Underwriter failing to purchase the Bonds at the Closing.
See Also
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Selling Group Agreement
An agreement sometimes used in addition to an Agreement Among Underwriters when a selling group consists of more entities than just underwriters in a syndicate.