Understanding Rent, Bond, and Holding Deposits in ACT

Renting in the Australian Capital Territory (ACT) can be a smooth process when you understand the rules governing rent, bond, and holding deposits. Knowing your rights can help you prevent and address common issues like rent increases, disputes over bond returns, and managing holding deposits.

Understanding Rent in the ACT

In the ACT, rent payment terms should be clearly outlined in your lease agreement. The Residential Tenancies Act 1997 regulates rental agreements and ensures fair practices. If your landlord intends to increase rent, they must provide you with a written notice at least 8 weeks in advance, unless your lease states differently.

What If Rent Is Increased?

If you believe a proposed rent increase is excessive, you can apply to the ACT Civil and Administrative Tribunal (ACAT) for a review. The ACAT will assess whether the increase is fair compared to similar properties in the same area.

Bond Requirements and Returns

A rental bond is a security deposit paid at the start of a lease. In the ACT, landlords can only ask for up to 4 weeks' rent as a bond. Bond money must be lodged with the ACT Revenue Office, ensuring safe management during your tenancy.

Getting Your Bond Back

At the end of your tenancy, to claim your bond, you’ll need to complete a “Refund of Bond” form and send it to the ACT Revenue Office. Your bond should be fully returned unless there are legitimate claims for damages or unpaid rent.

Handling Holding Deposits

A holding deposit secures your potential tenancy and prevents the landlord from leasing to others while you finalize your agreement. This deposit must be part of your rent or bond once the lease begins; otherwise, it should be returned to you.

Tip: Always request a receipt for any holding deposit paid and retain it for your records.

Disagreements Over Deposits

If disputes arise over any deposit, the ACAT is the place to resolve them. Prepare by gathering all relevant documents, including your lease agreement, correspondence, and any payment receipts.

1. What is a tenancy bond, and how is it different from a holding deposit? A tenancy bond is a security deposit held during your lease, while a holding deposit temporarily secures the property before lease finalization.
2. Can my landlord raise my rent multiple times a year? No, typically, rent can only be increased once every 12 months unless otherwise specified in your lease agreement.
3. What happens if my landlord doesn’t return my bond? You can apply to the ACT Revenue Office or ACAT for mediation or a resolution.

1. How to apply to the ACAT for a rent dispute
   1. Step 1: Complete the application form

      Fill out the appropriate form, detailing the dispute and any attempts to resolve it with your landlord.

   2. Step 2: Submit the form with relevant documents

      Include your lease agreement, relevant correspondence, and any evidence supporting your claim.

2. How to recover your bond
   1. Step 1: Initiate the bond claim

      Complete a “Refund of Bond” form at the end of your tenancy.

   2. Step 2: Discuss claims with landlord

      If disagreements arise, attempt resolution through discussion or apply to ACAT if needed.

Key points to remember for rent and deposit management in the ACT include knowing the proper procedures to address rent increases and understanding the correct process for ensuring the return of bonds and deposits.

Need Help? Resources for Renters

If you have any questions or require assistance, consider reaching out to these resources:

• ACT Civil and Administrative Tribunal (ACAT)
• Tenants’ Union ACT
• Access Canberra

---

1. Residential Tenancies Act 1997

2. ACT Civil and Administrative Tribunal (ACAT)

3. ACT Revenue Office

Categories

General Tenant Rights & Protections Tenancy Agreements & Renewals Rent, Bond & Holding Deposits Moving In & Condition Reports Ending a Tenancy & Moving Out Repairs, Maintenance & Urgent Issues Minimum Standards & Habitability Evictions & Breach Notices Co-Tenancies, Subletting & Shared Housing Discrimination & Equal Housing Access Disability Access & Reasonable Adjustments Utilities, Water & Internet Billing Public, Community & Social Housing Rent Increases & Rent Controls Privacy & Landlord Entry Rules Locks, Keys & Security Obligations Resolving Disputes & Tribunal Processes Harassment, Threats & Landlord Misconduct Boarding Houses, Rooming Houses & Lodgers Caravan Parks & Residential Parks Bond Refunds & Claims Notice Periods & Tenancy Termination Entry Condition Breaches & Compensation Tenant Advocacy & Legal Aid