Bail loans are the best way to pay a deposit nowadays. In comparison, Private Credit Company always finds the best credit offers for you.

At Private Credit Company you will always find the best credit – see for yourself!

At Private Credit Company you will always find the best credit - see for yourself!

Every move is associated with high expenses. These relate to both the current and the future rental apartment. One of the inevitable cost types is the rental deposit. It is a sum of money that the tenant has to pay or deposit as security for the landlord. At the end of the tenancy, the landlord has the right and also the opportunity to hitherto unpaid, ie open claims against the tenant through the use of the rental deposit to secure. This may be outstanding rental or additional costs, necessary repairs or compensation for use up to claims for damages according to § 823 BGB, the Civil Code.

The rent deposit usually amounts to two months’ cold rent, ie the rent per square meter without incidental / operating costs. The landlord is always obliged to keep the rental deposit separately in an account. It does not belong to his private or corporate assets, but is managed by him in trust.

Security deposit instead of deposit

Security deposit instead of deposit

Bail loans are currently a common method of providing the necessary bail. The surety loan as such is a generic term used for two different types of bail payments. On the one hand, there are original installment or credit lines with a commercial bank such as the bank or savings bank. On the other hand, they are guarantees. Here, the security creditor takes over the guarantee for the tenant from the landlord.

Save cash in the move phase

For the tenant this deposit has the big and decisive advantage, at the time of the move, to which the liquidity requirement is particularly high, the one-time payment of the rental deposit need not make. It is saved in the sense. This is, depending on the amount of rent, quite a high three- to four-digit Euro amount. The tenant must in turn have the desired credit rating for the security deposit with the bank. His current and contracted monthly salary must be high enough to allow the suretyship loan to be easily repaid as a loan and that it would also be repayable as a guarantee in one sum or in loan installments. Loans as borrowed money are usually entered in the database of bank, the private credit rating agency.

Landlord must agree to the security deposit

Landlord must agree to the security deposit

Bonds, whether as a loan or as a guarantee, are very easy to handle in practice. The landlord receives from the credit / guarantor a legally binding document issued in the form of a certificate. It authorizes him, if necessary, to claim all or part of the deposit agreed in the rental agreement. In such a case, the guarantor passes on the deposit claim to the renter to the renter. The landlord has no administrative burden with the Mietkation. He takes the bond of surety to the lease documents. There it remains untouched until the bail is taken, or dissolved by the end of the lease.

The landlord as a claimant to the rental deposit must be OK and can therefore decide which type of deposit he prefers. Bail loans are completely risk-free for him. The certificates of the guarantors are written in such a way that a permanent access to the security deposit is possible. It is said that the guarantors do not cause any difficulties, because they themselves can claim the renter directly.

Depositary funds, insurers and credit institutions

Depositary funds, insurers and credit institutions

The security credit is a coexistence of several contracting parties. Bail-out credits are issued by bail bonds, but also by insurance companies. They cooperate with savings banks and banks. For the tenant, the security credit has the function of an insurance, for which an annually manageable contribution to the guarantor is paid. Only when the landlord claims the deposit, it is literally serious for the tenant. If the guarantor is not a bank, often the registration of the deposit liability in the bank database is waived. It is worth comparing a number of bail-out offers . The bank entry can definitely mean a weakening of the bank score. For its part, this is a crucial basis for all bank business partners when they assess the creditworthiness of their contractual partners. Use Private Credit Company’s credit comparison directly to find the appropriate deposit loan for your personal financial situation.