If the landlord is late, he pays interest

When it ends a rental contract All that remains is to leave ‘the accounts clear and the chocolate thick’ and one of the most important points to achieve this is the return of the deposit. The Urban Leases Law (LAU) establishes a legal term to reimburse the value of the deposit, but also includes guarantees so that this is fulfilled.

The deposit is a payment that must be delivered at the beginning of the contractual relationship, even before making the move. The tenants deliver to the owner a deposit equivalent to one month’s rent with the intention of covering damages, non-compliance or other expenses derived from the maintenance of the home. However, being a deposit, must be returned to the tenants at the end of the rental if there was no type of damage or unforeseen expense.

The deadline to return the deposit

It is clear that the Leasing Law does not allow a landlord to retain the deposit indefinitely. In fact, in its article 36.4 it establishes a maximum period of 30 days from the delivery of the keys. If this period is met without receiving the money, the tenants will be able to claim the outstanding balance plus the legal interest on money. That is, the owner will have the obligation to return more money than he originally received.

Tenants also have the option of submitting a legal requirementalso known as burofax, a legal tool designed to reliably notify or go to court by taking the case to court. The good news is that judges usually rule in favor of the tenant when the landlord does not justify the withholding or delay in return, even if there are small repairs pending.

Why this deadline?

Both parties must agree whether the money is returned or not. In the event of breach of contract or outstanding debts, it is likely that the amount will not be returned. But it may also happen that the owner has to pay for repairs and renovations due to misuse of the home by the tenant and deduct the relevant amount from the total amount.

In this context, the law considers that 30 days is more than the time necessary for the owner to verify the status of the home and check if there are outstanding rents or if unpaid supplies need to be settled.