Using "Surety Bonds" to secure funding..?

[Dillon Kreider]

Hello, 

       I am new to the forum , and have a question.. I been looking at a 16 unit building , and the lender has agreed to provide the funds if I provide a surety bond/insurance wrap .  I am new to commercial deals, and know a little bit about bonds, but never closed a deal using them as collateral against a loan.. Have any of you done this before? And , Or is it a common. I don't mind posting a surety bond , but concerned about getting wrapped up in a some type of scam somehow.. The lender also said they would take a Bank Guarantee in place of the bond, so not sure. Just seems like it was too easy for my 1rst deal, I expected more of a process getting funded. Any answers would be greatly appreciated. My company is just getting into commercial real estate and business acquisition.