In tenancy agreements, a bond is paid by the tenant as a guarantee that they will meet their obligations under the agreement (s 2 RTA).
In addition to the general bond discussed here, the landlord can also request a pet bond if the tenant wants to keep a pet.
What the bond is used for
If a tenant pays their rent, does not damage the property (or remedies any damage), they should expect to get the bond refunded at the end of the tenancy.
However, if there is any unpaid rent at the end of the tenancy, damage to the property or any other claims relating to the tenancy, the landlord can request reimbursement out of the bond money.
The bond cannot be used during the tenancy to pay rent.
How much bond has to be paid?
Landlords can ask for up to the equivalent of four weeks’ rent to be paid up front as a bond at the beginning of the tenancy (s 18(1) RTA). If the tenant has a pet, the landlord can also ask for payment of a pet bond equivalent to up to two weeks' rent.
This money is held by Tenancy Services until the end of the tenancy.
Find out more about getting the bond back at the end of the tenancy
The landlord can decide to ask for less than four weeks’ rent as a bond, but they cannot ask for more than four weeks’ rent, even if they call it something else.
The bond amount can be increased if the rent goes up, and refunded if it goes down, so that it remains equivalent to four weeks’ rent. Any additional bond paid must also be lodged with the Bond Centre.
Note that there are separate bond rules that relate to boarding houses.
How to pay the bond
Bonds are lodged with the Bond Centre, which is part of Tenancy Services. This ensures that the bond is kept safe and does not become the landlord's by default. It means that any disputes about whether the bond should be released to the tenant, or kept by the landlord, are dealt with fairly and lawfully.
Bonds must be lodged online using Tenancy Services' Bond Hub or via property management software. They can no longer be lodged by email or posting paper forms.
Normally, the landlord will ask the tenant for the bond money and will then lodge the bond online. The landlord must give the tenant a receipt for the bond payment as soon as possible and lodge the bond within 23 working days (s 19 RTA).
The tenant can pay the bond money directly to the Bond Centre if they want to and they have their landlord's agreement. To do this, the landlord must still complete the bond lodgement process online but will make the tenant the payee. Tenancy Services will send the tenant an email with a link for the the tenant to make the payment. Once the tenant has paid the bond, Tenancy Services will send them a receipt.
Once the bond is lodged online, both the landlord and tenant will receive a confirmation that the bond has been successfully lodged. Bond lodgements can take up to 10 working days to process.
The landlord must handle the bond lawfully
It is unlawful for a landlord to:
- charge more bond than is permitted
- not provide the tenant with a receipt for bond money paid
- not pay the bond to the Bond Centre on time, or
- not lodge the bond at all (ss 18(4) and 19(2) RTA).
The Tenancy Tribunal can make a landlord pay up to $3000 in exemplary damages for each of these acts (as of March 2025; Schedule 1A RTA).
Unfortunately, a large number of tenant applications to the Tenancy Tribunal are about landlords not lodging or not refunding the bond.
Statistics about disputes resolution from the Tenancy Tribunal
Last reviewed on 20 Mar 2025
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