Payprop Deposit Guarantee for Tenants
Category Deposit Gaurantee
PAYPROP DEPOSITGUARANTEE IS THAT ALTERNATIVE.
Instead of paying a damage deposit of up to 2 times the monthly rent or more:
- A low initial premium of 35% of the monthly rent
- 1.25% of the rental in monthly premiums thereafter
- R175 once-off admin fee
- Landlord cover of up to 2.5 x the rental amount including 1 month's unpaid rent
- 40% no-claim bonus - Ts and Cs apply
NO DAMAGE DEPOSIT means you have access to your own cash to spend on things that really matter.
Paying affordable premiums under the DepositGuarantee has the following benefits for tenants:
- Improved cash flow - tenants have access to more of their money than under a damage deposit
- No risk of theft - unlike a damage deposit, no-one will make off with the tenant's money
- Less unnecessary cost, e.g. to borrow money for a damage deposit
- Reward for good tenancy - DepositGuarantee awards tenants with a cash bonus and a certificate endorsing their reputation as a good tenant
WHAT RISKS ARE COVERED UNDER THE DEPOSITGUARANTEE?
DepositGuarantee covers any amount for which the tenant is liable under the lease agreement, such as unpaid rent, the reasonable cost of repairing damage caused by the tenant, and utility and legal costs. As with the damage deposit arrangement, the landlord cannot claim for losses that are not stipulated in the lease agreement as a tenant liability, for example wear and tear.
Furthermore, DepositGuarantee does not cover the tenant but the landlord. The insurer will therefore recover from the tenant any claim amounts that it has to pay to the landlord. However, if the tenant does not owe the landlord anything at the end of the lease, the insurer will pay a cash bonus and issue a good tenant certificate to the tenant.
Feel-at-Home Properties provides fully furnished, self- catering accommodation / property rentals, unfurnished rentals, Investment and Residential Properties for Sale in Pretoria (City of Tshwane), Centurion, Midrand, and Johannesburg, Gauteng, South Africa.
Author: Sue-Helen van Niekerk