In Switzerland you as a renter will normally be likely to place down a deposit on your rental home. Your deposit is located in a rental deposit account. Money positioned in this type of account is held in trust by the lender.
Rental deposits: An untouchable asset
A rental deposit checking account is untouchable. Your cash remains in the take into account the whole duration of the rental period, and you’ll not be able to touch it without obtaining a green light from your landlord. What you can access whenever you choose will be the annual yields earned on the amount of money deposited in the account. Your deposit should be made accessible to you within 30 days of your rental contract’s expiry. That’s, of course, as long as there aren’t any damages or rental payments that require to be covered.
Any disputes between you as well as your landlord regarding the repayment of your rental deposit can be brought before the arbitration office for settlement. If your former landlord does not repay your deposit within 12 months from enough time your rental agreement expires, the amount of money will automatically be returned to you as the renter. That means you will receive unrestricted access to your deposit 12 months following the termination of your rental contract, even without your former landlord’s consent.
Rental deposits: The limits
Accommodations deposit serves as a safety buffer which a landlord can fall back on to cover unpaid rental dues or additional charges, and damages to the house caused by the renter. But the maximum deposit you as a renter can be expected to place down shouldn’t become more than three months worth of rent. Your deposit is included in deposit protection, up to a 100,000 franc cap. Go to mietkaution schweiz for more details.
The landlord picks the account
The choice which bank your deposit will be held at would go to the landlord, rather than the renter. Nevertheless, you have every right to suggest utilizing a different bank if your landlord’s pick doesn’t suit your look. The rental deposit checking account can be opened either by the renter or the landlord.
Comparing rates of interest across rental deposit savings accounts
Much like regular savings accounts, the eye you earn through accommodations deposit savings account varies from bank to bank. Generally, interest levels will either be equal to those of regular savings accounts, or slightly lower. Banks excuse the lower rates by citing the bigger administrative costs involved with closing the account at the end of a rental period.
Deposit savings rates at leading Swiss banks:
Raiffeisen Switzerland: 0% per year.
Migros Bank: 0.01% per year.
Bank Cler: 0.01% per year.
ZKB: 0.01% per year up to CHF 250,000. Above CHF 250,000: 0%.
Credit Suisse: 0%.
Zuger Kantonalbank: 0% per year.
UBS: 0% per year.
Securities as rental deposits?
From a legal perspective, it is technically possible for your deposit with securities. Before you opt for a securities-based rental deposit, ensure you understand that it brings both an increased chance of producing returns and a larger risk of loss.
Rental deposits: The cost
With some banks, opening, account management and account closure are cost-free for tenant savings accounts.
However, there are banks which deduct postal charges (normally one category B postal delivery per year).
Some charge opening fees such as Credit Suisse in the amount of 100 francs.
Several banks also charge an administrative fee for the transfer of your deposit. For instance, if you bank with the Zürcher Kantonalbank (ZKB) and need to transfer money to a rental deposit savings account at another bank, you will pay a 20 franc transfer fee.