Rental deposit: what the landlord can deduct and how to claim

The rental deposit guarantees pending obligations, but it does not allow the landlord to keep the money without justifying the reason. Unpaid rent, utilities, and damages attributable to the tenant must be distinguished from ordinary wear and from the repairs that correspond to the landlord.

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The rental deposit does not become the landlord’s money when the contract ends. Its function is to guarantee the tenant’s obligations and, once the amounts that are due have been deducted, the balance must be returned.

The Ministry of Consumer Affairs identifies as covered obligations the rent, the utilities, and the repair of damage attributable to the tenant. It also warns that the deposit cannot be used as an automatic penalty for not exhausting the entire initially agreed duration.

The discussion often begins when the keys are handed over. At that moment, the condition of the home, the outstanding bills, and the content of the contract have more value than a generic explanation about the need to fix the apartment.

What can be deducted and what must be justified

A rental debt must be identifiable: the monthly payment, the amount, and the reason why it remains outstanding. The same applies to the utilities that the tenant is responsible for paying.

When defects are alleged, the damage and its connection to the use of the home must be specified. It is not enough to present a complete renovation as if all of its cost could be passed on to the tenant.

The Urban Leases Act distinguishes between necessary repairs to maintain habitability and small repairs derived from ordinary use. The existence of a defect requires examining its cause; it does not automatically determine who must pay for it.

The evidence that helps to get the deposit back

Photographs from the day of move-in and the day of move-out allow the condition of the home to be compared. A signed inventory can specify which furniture and appliances were delivered and in what condition.

It is also helpful to keep communications about breakdowns. If dampness or an appliance failure had been reported during the contract, that notice may be relevant when it later appears as a reason for a deduction.

The delivery of keys must be documented, with a date and a record of the condition of the property. If there are discrepancies, it is preferable to record them than to sign an acknowledgment of agreement that is not shared.

When it begins to generate interest

Article 36 of the LAU establishes that the deposit balance that must be returned generates statutory interest when one month has passed since the keys were handed over without it having been returned.

The rule refers to the balance that corresponds to be returned. It does not authorize withholding the entire deposit indefinitely for a smaller invoice, nor does it itself resolve a dispute about damage.

How to claim a deposit

The claim must state how much was paid, when the rental ended, what amount has been returned, and what remains pending. If the landlord invokes damages, you can request a breakdown of them and the documentation that supports them.

A written notice that allows you to prove the sending and its content serves as a record of the request. The relevant documents must accompany it, without handing over the only original copies available.

Before starting a judicial path, you will have to review the procedures applicable to the dispute and the necessary documentation. An isolated telephone conversation is much more difficult to prove than a claim kept in writing.

Deposit and additional guarantee are not the same thing

In residential rentals, the legal deposit equals one monthly rent payment. Additional guarantees have their own limits and must be identified as such, without mixing all the amounts under a single name.

When reviewing the final settlement, the deposit, any additional deposit, and the amounts that the landlord intends to offset must be checked separately.