Brief Introduction to Bond
A bond is a legal bound between the tenants and the landlord or the real estate agents, in our scenario. While signing an agreement, we are obliged to maintain the house and for the guarantee, we need to deposit a certain amount of money. In most cases, we need to deposit a month’s rent. Normally, landlords and real estate agents ask for the total deposit. But if the landlord agrees, we can deposit the money on an installment basis.
Why do we need to deposit the money?
You might wonder, why do we need to deposit the money, in the first place? The answer is simple and clear. The money is the guarantee. Additionally, we need to hand over the house in its original state. so, we are obliged to do the end of lease cleaning. While moving out, if there’s any problem – cleaning issues, repairs, uncleared charges – then the landlord or property agents will use this money to do the remaining work.
#Read this article – what is end of lease cleaning? to know more about its meaning, costs and scope.
Where is the bond money deposited?
The next question that comes to our mind is – Does the landlord keeps the bond money by themselves? The answer is NO. They need to deposit the money in Fair Trading‘s account. Generally, the landlords should deposit within 10 days period. If the bond money is paid to the real estate agent then they need to deposit by month’s end. For the installment basis, we need to consult with Fair Trading for an in-depth process.
For your information – We should know that whether the bond money is deposited on time or not?. It has been recorded several cases of deposit failure within the mentioned time frame. If we are also experiencing this kind of situation then we can complain it to Fair Trading. If found guilty Fair Trading will fine them up to $2200. Obviously, the money is not their own. So they should be sincere and deposit in time.
Tips for Tenants – Step-by-step process to get the deposited bond back
We will be very busy and tense at lease end. We have to take care of the checklists – from moving our stuff to cleaning the rented house. Definitely, it is a stressful moment. Hence, We advise you to work and handle the responsibilities carefully. For end-of-lease cleaning, we can do it by ourselves if there isn’t much problem. But we advise you to hire a professional cleaner if the house is a complete mess. After completion, invite the landlord or the property managers for an inspection. If they find the place satisfactory then we can follow the below-mentioned steps:
- Fill up the Bond Money Refund Claim Form from the Fair Trading website.
- Request the landlord or real estate agent to sign the form.
- Submit the form through the post, fax, or in-person to Fair Trading.
After processing, Fair Trading will deposit the money into our bank account or post a cheque to our new address.
What to do when the landlord or property manager isn’t satisfied?
If not satisfied, we need to take care of the issues that they pointed out. When they are satisfied we can follow the above-mentioned steps. Even though we deliver the best, but still they are giving us trouble then we can follow the below-mentioned steps:
- Fill out the Bond Money Refund Claim Form
- Submit the form to Fair Trading’s office without the signature of the landlord or property managers.
Fair Trading will post the written notice to the landlords or property managers. If they don’t dispute the process then Fair Trading will refund the bond money after 14 days.
If they dispute the process then they will
- Apply to the NSW Civil and Administrative Tribunal (NCAT) within 14 days of notice.
- Inform Fair Trading through the written document stating that they have applied to NCAT.
Hence, the final decision will be of NCAT. Hence, we should be extra careful and confident regarding our work.
For your information: It has been recorded that the tenants when don’t achieve satisfactory results when moving out, they don’t try to get the refunds. But in reality, if they tried and communicate with the landlord then they may come to a mutual understanding.
Sometimes, the landlord purposefully act as if there is an issue. So we advise you to learn every aspect while moving out.
We hope you learn the process to get your money back. If you are facing any cleaning issues then you can entrust us.