Owners may have questions on (a) How much deposit to refund and (b) when to refund.
A. How much to refund
They need to transfer the whole amount that was transferred to them.
To check exact calculations, you can refer to the latest Customer Statement as shown in the screenshot below, and check the amount:
CB:SD (This means Closing Balance: Security Deposit)
You will also see one another entry: CB:CD - this is Closing Balance: Caution Deposit - this is the 10% of the deposit we hold.
So, for example, if tenant had paid Rs. 1,00,000 as deposit (This will be shown in the Tenant Contract in the SD field), the CB:SD & CB:CD values in the Customer statement will usually be:
CB:SD - Rs. 90,000
CD:CD: Rs. 10,000
In this case, the owner will only transfer Rs 90,000. The Rs. 10,000 Caution Deposit, PA will refund directly to tenant.
Please explain to owner that after he transfers the amount to us, we will make the necessary deductions before paying the tenant. We will deduct any unpaid rent, utility bill payments, maintenance work required including painting cleaning and any damages, etc.
Sometime he may want to transfer after deducting any unpaid rent, etc. Please request him NOT to do so, as it only complicates matters. If he insists, please ask the Accounts team for exact calculation about how much to transfer.
B. When to refund
Please have him refund this at least 7 days before the tenant is supposed to vacate. This is as per our PM agreement with the owner.
