Some N.B landlords breaking tenancy deposit rules

Feb 7, 2017 | 6:00 PM

Due to a tight and expensive local rental market, numerous rental ads have been spotted in the Battlefords on sites like Kijiji where landlords are requesting first month’s rent and the full security deposit up front. But according to the Office of Residential Tenancies, this practice is illegal.

Asking for the full security deposit is against the rules of the Residential Tenancy Act, according to Dale Beck, director of the Office of Residential Tenancies for Saskatchewan.

“They [the landlord] can ask for the security deposit, but they can’t ask for more than 50 per cent of it to be paid at the time of entry,” said Beck. “The balance is payable within two months of the tenancy agreement.”

Beck said he doesn’t see the situation often, but it has come to his attention in the past. He didn’t know of any particular punishment for landlords who ask for a month deposit at the start of a tenancy, but said when tenants have come to him in the situation, it is usually a matter of the landlord not knowing the rules. The Office of Residential Tenancies would inform the landlord of the tenants’ rights and allow them to resolve the situation civilly. 

The security deposit must be held in a trust account separate from the landlord’s operating accounts. The landlord has seven business days after the tenant has moved out to either give the security deposit back or provide written notice on the landlords claim on the deposit.

Pet deposits are not subject for a refund and can be charged as one time or monthly fees. The landlord must specify pet deposits as “non-refundable” and they will not be a part of the security deposit. The charge cannot exceed one month’s rent. If the pet causes damages beyond the deposit fee, the tenant could be charged if damages exceed the deposit amount.

Rent on the other hand is an agreed upon date by both parties, which can be ask to be paid upon entry. If the tenant asks to move in before the agreed upon date, the landlord can ask for a pro-rated amount of rent money.

 

greg.higgins@jpbg.ca

On Twitter @realgreghiggins.