Differences between the deposit and the rental deposit
When renting a home, both the owner and the tenant, have doubts about the processes and deadlines established by the Urban Leasing Law. Knowing these aspects is essential to avoid misunderstandings during the course of the lease.
Many of them, especially when it is the first time they rent a property, have many doubts about everything related to the deposit and deposit. Although they are two very similar concepts, since the two refer to an amount that is left as collateral, there are several differences that it is essential to know before signing the lease.
What is bail?
The Law of Urban Leases (LAU) in its article 36, establishes that the bond is that amount of money that the tenant is obliged to deliver at the time of signing the contract. In the lease of a house, this is equivalent to two monthly payments of the rent (in the contracts of use other than housing as a seasonal rental is one monthly payment) and has to be delivered to the lessor. Once this procedure is completed, the owner has to deposit the deposit in the corresponding agency of the autonomous community where the home is located.
The obligation of the bond is given to the fact that it is a guarantee of the fulfillment of the obligations established in the lease contract, by the lessee. Once the rental agreement is finalized, provided that he has complied with all the clauses set forth in the document that regulates the lease, the owner has the obligation to return this amount of money.
To comply with this last step, the landlord must request the deposit that was delivered at the time to the corresponding agency. The owner has up to 30 days, from the delivery of keys, to proceed to the money refund.
In the event that the provisions of the rental contract have not been complied with, the lessor has the right to deduct from the deposit the expenses that this fact causes. The most frequent reasons for not returning the deposit are: not complying with the monthly payment of the rent, not delivering the house in the same conditions that were delivered or leaving the property without respecting the time and form established in the legislation valid.
What is the deposit?
The Law of Urban Leases also includes the possibility of requesting additional guarantees to the bond. The request for this money is motivated because the landlord wants to have additional money in case of default or problems with the home. The last Royal Decree-Law on urgent rental measures limited the amount of the deposit to the equivalent of two monthly payments.
The security deposit is required to return it once the relationship between the landlord and the tenant ends, as long as there are no defaults on the rent or there has been a problem with the maintenance of the home.
What differences exist between deposit and deposit?
Once defined what are the deposit and deposit, as specified at the beginning of the article, although they may seem similar, there are differences between the two concepts. The most notable are:
The delivery of the deposit is mandatory, while the deposit is an amount that will depend on the agreement between the parties. The landlord may or may not request this amount.
The amount of the deposit will be the equivalent of two monthly payments of the rental income, while the deposit of guarantees is limited to two monthly payments, after the approval of the last Royal Decree-Law on the rent.
The deposit can be updated after the maximum duration of the contract, while the deposit is not subject to updates as long as it has not been agreed otherwise.
Finally, the deposit is mandatory to deposit in the competent body of the autonomous community where the house is located, while for the deposit there is no specific place to enter it.