Account holders to pay security deposit

18/11/2011 14:25

The Consumer Council would like to remind tenants renting private and commercial properties to only pay the security deposit if the electricity account is on their name.

The law requires the account holder to pay for the security deposit as it would be refundable to the account holder shall there be a termination of the particular account

For most of renting properties/outlets especially in town and city areas, the landlord is the account holder. In such cases, the security deposit is to be paid by the landlord and not the tenant.

Since the security deposit is added unto the bill and not issued separately, tenants should take the initiative to inform their landlords of the added amount stated as security deposit in the bill.

The amount mentioned as security deposit therefore should be cleared by the landlord while the tenant still pays the regular bill. The landlords cannot pressure tenants to pay the security deposit together with the bills if the account holder is the landlord.

Tenants who are FEA account holders have a responsibility to pay the security deposit if they intend to move out and claim for the security deposit at the closure of the account.