Security Deposit Insurance

A sensible alternative to the cash deposit? Who doesn’t know that? Pending a move for professional or private reasons and immediately rips this situation unexpected holes in the purse strings. Almost every second German lives for rent according to a recent Allensbach poll 46 percent and 43 percent of them expect a further move in the next few years. The new apartment is only found for an any brokerage, new purchases and of course the rent costs. The latter is usually on three net rents. Has the previous owner still not be refunded this, it can be financially tight. Because landlords must allow up to six months with the refund of security deposit.

A security deposit insurance as a guarantee who doesn’t have the money for the deposit, can complete a few years ago. With her an insurer against the landlord for the lease guarantees similar to such as in a bank. Is to give guarantees as a security deposit, also in Germany not “unusual, even very often in commercial tenancies of the case”, says Ulrich Ropertz of the German tenants Association. Generally, a landlord with a deposit insurance by an insurer must agree. Tenants can make online a bail request from providers such as the German deposit Fund (DKK) or even Kautionsfrei. It comes to believe that the tenant receives a guarantee certificate, which he deposited with the landlord as a security deposit. For rental guarantee insurance, the guarantee service providers require annually between 4.7 and 5.25 percent of the bail amount.

Depending on the security deposit insurer comes a service fee. When a deposit of 2000 for example, around 100 euros are in the year. What happens if a landlord wants to have the deposit? Remains the tenant a rent guilty, is open to the operating expenses of the summary are to eliminate damage or perform repairs, can the landlord contact the guarantor and demand the payment of the guaranteed amount of money, “explains Ropertz the course of action.