Changes to Residential Bonds in Tas

Submitted by Michelle on Mon, 05/25/2009 - 12:20

Important Info about Changes to Rental Bonds in Tas

On 1 July 2009 a new authority will collect and manage rental bonds on behalf of property owners and tenants. This is known as the Rental Deposit Authority (RDA). Any bonds paid on or after 1 July 2009 must be paid to the RDA.

The rental bond (also known as a security deposit) is money paid by the tenant as security for the property. The bond money must be forwarded within three (3) days. Bonds can be paid at Service Tasmania shops but can also be mailed directly to the RDA. Tenants will have the option of paying the bond directly to the RDA if they want to.

If the tenant breaks the agreement in some way the property owner or agent may claim against the bond at the end of the tenancy for any costs. These could include:

  • Rent arrears
  • Re-letting costs where the tenant leaves the property before the fixed term agreement was due to end
  • The cost of repairing damage
  • Costs for cleaning and gardening needed to return the property to the condition it was in when the tenancy began
  • Court fees and process server fees incurred during an eviction process

The bond cannot exceed the equivalent of four weeks rent. So, for example, if the weekly rent is $200 the bond cannot be greater than $800. Currently bonds are held by the property owner or agent. The bond, minus any deductions, must be returned to the tenant within three days of the tenancy ending. If that is not possible, for example because the owner is waiting on quotes to repair damage, then they must provide the tenant with an estimate of when any deductions from the bond will be assessed.

If a new rental agreement is signed after 1 July 2009 the bond must be paid into the RDA. Bonds held by landlords or agents for tenancies entered into before 1 July 2009 do not have to be paid to the RDA unless the tenancy agreement is extended or renewed after that date.

Claiming the Bond – By Agreement
If all the parties who signed the Lodgement Form at the start of the tenancy agree and they all sign the Claim Form at the end of the tenancy, the RDA will pay out the bond within 72 hours of the Claim Form being lodged. Forms can be lodged at Service Tasmania or faxed directly to the RDA.

The RDA will pay the bond to the parties in the proportions they agree to. The only exception is that the tenant can never claim from a contribution provided by Colony 47 or Anglicare.

Example 1: the bond is $1000 and Anglicare contributed $200. The parties might agree that the property owner gets $500, the tenant gets $300 and Anglicare gets $200.

Example 2: the bond is $1000 and Colony 47 contributed $500. All parties agree that the property owner gets $600 and Colony 47 gets $400.

Claiming the Bond – One Party
Any party who has an interest in the bond can claim against the bond.

The property owner/agent might do this if the tenant cannot be contacted, or if they give the tenant a claim form but the tenant fails to lodge it with the RDA.

The tenant might do this if the property owner cannot be contacted or fails to provide them with a signed claim form.

A person or organisation that has made a contribution to the bond might do this if the tenant or property owner does not provide a claim form for their signature.

If the RDA receives a claim form without a signature the RDA will attempt to contact the other party(s).

If the tenant or someone who has contributed to the bond lodges a claim and the property owner/agent cannot be contacted within 10 days the RDA will pay out the bond.

Change of Tenant, Property Owner or Agent
During the tenancy the property may be sold, management may transfer between the property owner and one or more property management firms, and tenants in share houses may come and go. New tenants, property owners or property agents cannot claim any bond money unless the RDA has a record of their signature.

For this reason if management transfers to a different property owner or agent they must fill in a Property Owner/Agent Transfer Form and lodge it with the RDA either directly by post or through Service Tasmania. Both the incoming and outgoing property owner or agent must sign the form.

If more than one tenant rents a property and one or more tenants leave, the RDA can transfer their portion of the bond to the incoming tenant(s). Each of the incoming and outgoing tenant(s) and the property owner/agent must sign a transfer form and lodge it with the RDA either directly by post or through Service Tasmania. However there must always be one ‘original’ tenant. The RDA cannot transfer all of the tenants at once. That will be considered a new agreement and the bond must be claimed by the outgoing tenants/property owner/agent and a new bond paid by the incoming tenants.

If an outgoing tenant has received bond assistance from Colony 47 or Anglicare the RDA cannot transfer their bond to the incoming tenant. That is because the incoming tenant may not be eligible for assistance.

If only one tenant rents the property the RDA will not transfer the bond to a new property when they leave.

Source Tasmania Consumer Affairs and Fair Trading