Bond Scheme
Introduction
What is a deposit guarantee?
A deposit guarantee is a written agreement between Path and a landlord/lady. It guarantees that, if at the end of a tenancy there are any rent arrears or damage, Path will reimburse the landlord/lady up to the agreed value of the guarantee. From the 1st January 2006 the deposit guarantee will be able to cover up to four weeks rent (based on a rent officer determination).
The Scheme
The scheme is set up to help childless single people and childless couples who are on a low income or benefits. It enables them to gain access to the private rented sector by providing a deposit guarantee on the tenants’ behalf until they have had the opportunity to save a deposit for themselves.
Who will Path not consider?
If a tenant has had a guarantee that has had a claim made against it, then that tenant will not be eligible for another deposit guarantee until the amount of the claim has been settled with Path. Path will complete an assessment of each prospective client to assess their ability to maintain a tenancy.