How to pay a deposit?

jc2008

There's a group of us looking for accommodation at the moment. When we view places, if we decide we like it, what is the best form to actually pay the deposit in?

I assume cash isn't a good idea because the landlord could just take the cash, and the next day give the house to someone else - what comeback would we have?

Would we just write a cheque perhaps? Or a one-time bank transfer?

And how much is a deposit usually - is it one month's rent or can it be more?

jester77

Where I am, the landlord and tenant open an account and the deposit is paid into it. They both sign the account and neither one has access to it without the other. Once you leave the property and everything is as it was originally then you both sign to release the money (+ interest accrued).

Something like that would work best and neither one can scam the other.

Graces7

jester77 wrote: »

Where I am, the landlord and tenant open an account and the deposit is paid into it. They both sign the account and neither one has access to it without the other. Once you leave the property and everything is as it was originally then you both sign to release the money (+ interest accrued).

Something like that would work best and neither one can scam the other.

That is Germany and a good method, but here in Ireland it is not done like that, sadly.

Yes, it is usually a month's rent and usually, well, we have always, paid in cash or by cheque and got a receipt for it. Bank transfer works well too and that means there is a record of the transaction.

So you pay that and the first month's rent as well of course.

It is getting the deposit back where our Irish system falls down of course. The landlord will have spent it and getting it back can be a problem. Threshold are trying to get this put right by a third party deposit holding system. But for now, that is how it is done here.

StillWaters

When you view a house, like it and decide to take it, you normally pay a holding deposit of between 100-200. When the LL has checked out your references, you are ready to move in and sign the lease, you pay the remainder of the deposit. This is normally one months rent. You also pay one months rent in advance.

P_1

Out of interest can you put that in as a condition on the lease?

It makes far too much sense not to try

borderlinemeath

pithater1 wrote: »

Out of interest can you put that in as a condition on the lease?

It makes far too much sense not to try

I presume you are talking about the bank a/c with the holding deposit?

As much as it makes sense for both parties - the amount of hoops that somebody must jump through to open a bank account in this country would be a barrier enough for me as a landlord. Then as a tenant, who, if they're moving into a property for the first time away from home won't have a bill with their name and address on it...

Also - are there any bank a/cs left that don't have charges?

P_1

Fair point, perhaps a PayPal/Moneybookers account might be a better option but I'm not exactly sure how that could be set up.

BlueEyedNigel

i would pay buy check or bank transfer their safer and traceable

last time they asked me for cash it was 1 month rent + 1 month as deposit. i said i wasnt carrying that amount of cash around and asked for their bank details, made the transfer, everyone happy.

jc2008

Thanks for the answers.

A house I'm looking at now the landlord said to send a cheque in the post to him as a deposit. Surely this isn't a good idea, is it?

I said would he be available at the weekend to meetup and he said he wouldn't but his daughter would (she lives nearby) but that the cheque would be fine.

What do you think? How does this work in terms of getting a receipt? What's to stop him from just pocketing the cheque?