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Function of the deposit
The landlord may ask the tenant to pay a deposit at the start of the rental agreement. This deposit is meant to cover for any potential overdue rent or damage to the property caused by the tenant. If there is damage or overdue rent, the landlord may withhold an amount equal to that damage or overdue rent from the deposit. If this is not the case, the landlord must fully repay the deposit to the tenant within three months after the end of the rental agreement.
What if the landlord does not refund the deposit?
Despite the simple function of a deposit, in practice conflicts often arise. This is partly because all this takes place after the end of the rental contract, and so the tenant and landlord no longer have to deal with each other. They are therefore both more inclined to take a stand instead of compromise. On the other hand, some landlords are simply trying to make a final profit from the departed tenant.
Most common is the situation where the landlord refuses to refund the deposit due to minor damage to the property. The damage is often totally out of proportion to the amount of the deposit. Nonetheless the landlord claims that this is the logical consequence of the damage and therefore the tenant's own fault. The conversation is avoided by the landlord in the hope and expectation that the affected tenant will not take any action against the landlord. The landlord knows most tenants will never employ a lawyer to claim their rights. This way the landlord wins time and again. But in most cases the landlord is acting unlawfully and a lot can be achieved with the right approach.
Square Rent will get the deposit back for you
If you can't find a solution with your landlord, or if your landlord simply does not respond, Square Rent can help you. Square Rent assesses your situation and takes all necessary steps to get your deposit back. We write to the landlord and start legal proceedings if necessary. Even after a decision has been received, we ensure that the landlord complies with it. Square Rent takes care of the work for you, from start to finish.
We charge 40% of the refunded deposit as our price. And should all Square Rent's efforts fail, you will of course not pay anything.
Anna has left her rental home and the landlord refuses to pay her back her deposit of € 500. The landlord claims that Anna has damaged the rented house. Anna denies having caused any damage. Square Rent addresses the landlord to repay the deposit and if necessary goes to court to get Anna's deposit back. The landlord pays back the deposit of € 500 to Anna. Anna pays € 200 (40%) to Square Rent.