Security deposit
Please also make sure to review The General Terms of Service that apply to all individuals and/or organizations that utilize the platform provided as NomadRooms.com.
Because each country has different laws regarding how our community can borrow/lend properties, specific terms of service may be provided for the country in which the property is located.
Effective date: May 2, 2022
Overview
We use a uniform security deposit system for all room to make the process stream-lined and easy to follow for all members and partners. Security deposits are held by NomadRooms on the behalf of the Partner. Interest is never accrued or paid for security deposits.
How does it work?
NomadRooms seeks to keep its security deposit policy simple for all Members and Partners. This is inline with NomadRooms’ policy of creating a standard product that Members and depend on globally.
Other policies that include details about security deposits include General Terms of Service, Partner’s Agreement, and Cancellations/Changes Policy.
The amount of security deposit required depends solely on the length of the stay and the room fee in the following manner:
- All stays less than one month: No security deposit is required.
- Stays from 1 to 6 months (medium), 50% of one month’s rent is required.
- Stays longer than 6 months (long), 100% of one month’s rent is required.
The fee is collected at the time of the booking and held by Nomadrooms. It is refunded to the Member 14 days after checkout.
Partners have 12 days to inspect their properties after the checkout date. Within those 12 days, Partners can make a claim against the security deposit if they believe their property has been damaged or the Member has not honored their agreement. This includes penalties outlined in the listing contract.
The final decision and amount refunded to the Partner, if any, from the security deposit is solely at the discretion of NomadRooms.
Partners must file a report of damage with NomadRooms within 48 hours of discovering the damage or at least 48 hours before the deposit is returned to the Member (12 days after checkout).
If you have questions, please Contact Us.
What if?
- Why can’t Partners charge their own security deposit?
- A key principle behind NomadRooms is to provide a standard booking experience for Members who work and live all over the globe. Furthermore, NomadRooms seeks to reduce the amount of time Partners need to manage their properties. That is, NomadRooms.com is not just a listing service like other sites, it offers services like the contract builder to make management of properties easier for Partners (Room Owners). Finally, NomadRooms management feels that the current policy offers the following advantages,
- Partners do not need to manage security deposits. This process can be complicated when the tenant is a resident of a different country from the property.
- Disputes are managed by a third party: NomadRooms. Claims against reductions in the security deposit are often disputed. This leads to friction and sometimes even legal actions between Property Owners and Tenants. Letting a third party like NomadRooms manage the security deposit helps defuse tensions.
- A key principle behind NomadRooms is to provide a standard booking experience for Members who work and live all over the globe. Furthermore, NomadRooms seeks to reduce the amount of time Partners need to manage their properties. That is, NomadRooms.com is not just a listing service like other sites, it offers services like the contract builder to make management of properties easier for Partners (Room Owners). Finally, NomadRooms management feels that the current policy offers the following advantages,
- What if the damage is greater than the security deposit? In this case the general process will be:
- The partner will file a claim against the security deposit.
- The partner will submit evidence of the damage including estimates for the repair.
- NomadRooms will present the evidence and estimates to the Member.
- NomadRooms may award the Partner with all or part of the security deposit.
- A NomadRooms resolution professional will work with both sides to reach a reasonable solution.
- What if the damage is more than the security deposit, and the Member refuses to pay? Depending on the situation, NomadRooms may deploy any of the following,
- Refund to the Partner the full amount in excess of the security deposit needed for repairs.
- File legal actions with the Member.