View Full Version : Please Help, Need Security Deposit Advice
01-11-2010, 12:59 PM
So need some help on a security deposit situation I have. I rented a home in Windsor Hills. I placed the deposit money down to hold the home. The full amount in almost due which is no problem but I was also informed that a security deposit will also be needed. The contract states that the deposit will not be charged but that a hold will only be placed on my card and held for up to 30 days after my stay to verify that the home was left in good standing. I did see on the original contract that I would have to do a security deposit but I guess with this being my first time renting a home I thought the security deposit was the same as the hold deposite. But I am learning it is two completely different things. So here is my question or I should say questions.
1. When Does this hold actually get placed on my card. Now when I make the final payment or beginning on the first day of my stay?
2. What exactly does a hold on my CC mean? Do I actually have to have the full amount due for the deposit in my account at the time of the hold? I will be using a Bank Debit Credit Card that does have overdraft protection if that helps answer this question any better? I am afraid I may not have the whole amount in my account at the time of the hold so will the hold process through anyways because it will not be an actual charge?
Any insight on this topic would be greatly appreciated!! Thank you! I am so nervous that this security deposit thing may cause me to not be able to continue to rent the home because I just don't have the extra money in my account right now.
01-12-2010, 12:04 PM
Please anyone? :confused3
01-12-2010, 11:27 PM
I would ask the owners. Each owner may do things differently.
That deposit your owners is wanting is sometimes called a "damage deposit" we have avoided renting from anyone who requires that type of deposit because it is to easy for the owners to say that damage occured during our visit that NEVER hAPPENED or was some former damage that they have already taken care of but would like to make money off of the 2nd time.....yeah really sucks to think anyone would do that! I'm sure in the long run esp here on DIS they would be cutting their own throats.
DH an I are more careful of others property than our own if we managed to do any type of damage it would be a freak accident for sure yet we would still feel responsible not everyone feels that way....
We have even had light bulbs burn out during our stay an when DH did not find replacement bulb he went out bought light bulbs to replace the light bulb NOT worth calling maintence in for I don't think......Myself I would have left note living room lamp by the door needs a new bulb or what ever...
01-13-2010, 03:36 AM
The Security Deposit is as stated already in effect a Damage Deposit as the owner is intrusting strangers with their $X thousand home and they need to be covered in case of damage. You would be surprised what we have heard some guests to to homes! Each owner works differently - some requiring a certain amount prior to arrival which is then refunded after departure, some (like the owner you are dealing with) place a hold on a credit card which means that amount is set aside on your card but not charged. I would think this means that the full amount will need to be available and then unusable until after your vacation. We use a declaration form whereby the management company initially charge $10 to make sure the card is valid and have it signed by the guest has to pay for any damage.
Most owners never have to charge guests as they respect the homes that have been rented but there is always a risk hence the security deposit processes.
01-13-2010, 08:08 AM
When we did a house rental in Nov. we paid a $300 deposit to hold the house and then paid the total due within so many days of our arrival. The $300 was kept until we checked out of the home, but we did have that back within a week of checking out.............i thought it was a very reasonable amount that they requested, because we had no plans of doing damage and i could imagine how fast damage could add up and cost an owner. I trusted the owners of the home we rented so did not have any issues with it....
Good Luck and hope you have a great vacation
01-13-2010, 09:26 AM
The hold deposit should be applied toward your rental cost, thus the balance, minus the hold deposit should be due. Then the security deposit held on your credit card, they just hold on your card and release after insepection of the home and your departure. You also have rights with your credit card company when you use this type of payment. Holding monies on your card is in lieu of you providing that same amount in a payment, which is refundable after inspection of the home and within 7-14 days usually of your departure. Management companies and owners have something in place, so this is very typical. Renting a home is a partnership between mgt. co./owner and guest so all needs to be protected. They are trusting you and you are trusting them, it is quite an intimate relationship. Always read the Terms and Conditions, as that is the contract, and the law.
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