We live in Florida. We are in the process of moving to a different home. We have been in this house for over 5 years and are at the end of a 6-month lease at present. Our rent has increased over this period by $240 per month. I have a receipt for the initial rental period that states we paid first and last month's rent and a security deposit. Since I have this receipt that states it is for first and last month's rent, are we responsible for the increase as well? We were never given any notice of where the advance rent or security deposit were to be held. He has never informed us whether he put it into an interest-bearing account or just stuck it in his checking account and spent it. It is my contention that he should have been paying us interest on the money and, at the very least, should take any increase in the rent from that interest; which at 5% should be enough to handle any rent increase. What are our options?
-
FreeAdvice has a new Terms of Service and Privacy Policy, effective May 25, 2018.
By continuing to use this site, you are consenting to our Terms of Service and use of cookies.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
Advance rent and security deposit
- Thread starter touc23
- Start date
Accident - Bankruptcy - Criminal Law / DUI - Business - Consumer - Employment - Family - Immigration - Real Estate - Tax - Traffic - Wills Please click a topic or scroll down for more.
I'm sorry, guess I was not clear. We do not believe we owe this guy any more money than what we have already paid. We paid the security deposit and the last month's rent in good faith. Do we owe him the increase in the rent for the difference in the last month's rate from what we originally paid? Do we have the option to tell him to take it out of the interest that he is supposed to have been paying us?
According to Florida statute 83.49 the landlord has three options. 1) Deposit the money into a non-interest-bearing account and not mix it with his own. 2) Deposit it into an interest-bearing account and pay the interest to the tenant. 3) Post a surety bond and pay the tenant 5% interest on the money.
Whichever they choose, they have to notify the tenant within 30 days of rental where the account is and what kind of account it is. They are NOT supposed to commingle the money with their own and they are not to spend it. We were not aware of this when we rented from him and I am certain he is not aware of it either. That does not make it any less true and does not make him any less responsible to fulfill the provisions.
http://www.flsenate.gov/Statutes/index.cfm?App_mode=Display_Statute&Search_String=&URL=Ch0083/SEC49.HTM&Title=->2002->Ch0083->Section%2049#0083.49
What I want to know is, do I have to pay him the additional $240 increase in rent for the last month? I have a receipt that says last month, not last month except if I change my mind.
Whichever they choose, they have to notify the tenant within 30 days of rental where the account is and what kind of account it is. They are NOT supposed to commingle the money with their own and they are not to spend it. We were not aware of this when we rented from him and I am certain he is not aware of it either. That does not make it any less true and does not make him any less responsible to fulfill the provisions.
http://www.flsenate.gov/Statutes/index.cfm?App_mode=Display_Statute&Search_String=&URL=Ch0083/SEC49.HTM&Title=->2002->Ch0083->Section%2049#0083.49
What I want to know is, do I have to pay him the additional $240 increase in rent for the last month? I have a receipt that says last month, not last month except if I change my mind.
Happy Trails
Senior Member
http://www.flsenate.gov/Statutes/
Go to "TITLE VI CIVIL PRACTICE AND PROCEDURE" > Chapter 83 > 83.49 Deposit money or advance rent; duty of landlord and tenant.
EDIT--Didn't see your post. My computor is running very slow.
Hopefully, JETX will look at your post and have an answer for you.
Go to "TITLE VI CIVIL PRACTICE AND PROCEDURE" > Chapter 83 > 83.49 Deposit money or advance rent; duty of landlord and tenant.
EDIT--Didn't see your post. My computor is running very slow.
Hopefully, JETX will look at your post and have an answer for you.
Last edited:
Thanks HT. This jerk has been negligent in making any repairs for the last 5 year. We did not have working windows for nearly the whole time. We could not open them. The mechanisms were broken and the aluminum frames corroded beyond repair. The repairs were to be done the first year. He finally did it a few months ago, but never sealed the outside frames and now we have water on the floors whenever it rains. That is just the tip of the iceberg for repairs. I really do not want to give this guy another penny! He has made our lives hell the last six months because he moved in downstairs along with his wife, two kids, dog, three boats, two cars, a pickup truck and two motorcycles, into a small one-bedroom apartment.
I really need to know if we have a leg to stand on here as we are due to begin our move at the end of the week. If anyone can help, please do. Thanks.
I really need to know if we have a leg to stand on here as we are due to begin our move at the end of the week. If anyone can help, please do. Thanks.
A
absconder
Guest
Does the LL say you owe the money?
If your last months rent is less than the new current rent that is being asked for when you get to the last month you will have to pay the difference.
Only some city/states require landlords to put DEPOSIT in interest bearing account which only generates pennies anyway...
The last months rent held does not collect interest because it is no longer your money.
Only some city/states require landlords to put DEPOSIT in interest bearing account which only generates pennies anyway...
The last months rent held does not collect interest because it is no longer your money.
touc23 said:We live in Florida. We are in the process of moving to a different home. We have been in this house for over 5 years and are at the end of a 6-month lease at present. Our rent has increased over this period by $240 per month. I have a receipt for the initial rental period that states we paid first and last month's rent and a security deposit. Since I have this receipt that states it is for first and last month's rent, are we responsible for the increase as well? We were never given any notice of where the advance rent or security deposit were to be held. He has never informed us whether he put it into an interest-bearing account or just stuck it in his checking account and spent it. It is my contention that he should have been paying us interest on the money and, at the very least, should take any increase in the rent from that interest; which at 5% should be enough to handle any rent increase. What are our options?
Landlords must hold security deposits in one of three methods, but only one method requires interest to be paid. Most landlords use the method that does not require interest to be paid.
The interest earned would be simple interest (EX: $1000.00 Security/Last Month would have earned $250.00 over 5 years @ 5%). This is, of course, assuming that the LL used one of the methods that requires interest to be paid. You may contend that the LL should have been paying interest, however, that may not be required of him.
Regardless, the advanced rental payment is less than the current rental payment, so, of course you owe the difference.
The interest earned would be simple interest (EX: $1000.00 Security/Last Month would have earned $250.00 over 5 years @ 5%). This is, of course, assuming that the LL used one of the methods that requires interest to be paid. You may contend that the LL should have been paying interest, however, that may not be required of him.
Regardless, the advanced rental payment is less than the current rental payment, so, of course you owe the difference.
The Florida statutes DO require him to put the money into a separate account and not use the money until it is due him and to notify the tenant of the location of the account. That was in a previous post. He never did this. He does say we owe him the money, but when he originally demanded it, he wanted $100 more than what the difference would have been. He also claims our security deposit was $100 less than we gave him. I have the receipts so I know he is wrong.
The statute also says that the LL is supposed to apply any interest on the advance rent once a year to the current rent and it specifies an amount of 5%. I know it does not say he has to put it into an interest-bearing account, but he does have to separate it from his own funds according to the statute and tell us where it is. He is trying to slip an extra $200 out of us and then not give the security deposit back to us to boot. I am positive he does not know about giving it back within 15 days.
The statute also says that the LL is supposed to apply any interest on the advance rent once a year to the current rent and it specifies an amount of 5%. I know it does not say he has to put it into an interest-bearing account, but he does have to separate it from his own funds according to the statute and tell us where it is. He is trying to slip an extra $200 out of us and then not give the security deposit back to us to boot. I am positive he does not know about giving it back within 15 days.
Which bank pays 5% on a small amount of money?
treese said:Landlords must hold security deposits in one of three methods, but only one method requires interest to be paid. Most landlords use the method that does not require interest to be paid.
The interest earned would be simple interest (EX: $1000.00 Security/Last Month would have earned $250.00 over 5 years @ 5%). This is, of course, assuming that the LL used one of the methods that requires interest to be paid. You may contend that the LL should have been paying interest, however, that may not be required of him.
Regardless, the advanced rental payment is less than the current rental payment, so, of course you owe the difference.
The rent has increased since you first moved in therefor the last month rent has increased you owed the difference the last month before you move out....
5% which bank pays 5% on a tiny amount of money?
5% which bank pays 5% on a tiny amount of money?
touc23 said:The Florida statutes DO require him to put the money into a separate account and not use the money until it is due him and to notify the tenant of the location of the account. That was in a previous post. He never did this. He does say we owe him the money, but when he originally demanded it, he wanted $100 more than what the difference would have been. He also claims our security deposit was $100 less than we gave him. I have the receipts so I know he is wrong.
The statute also says that the LL is supposed to apply any interest on the advance rent once a year to the current rent and it specifies an amount of 5%. I know it does not say he has to put it into an interest-bearing account, but he does have to separate it from his own funds according to the statute and tell us where it is. He is trying to slip an extra $200 out of us and then not give the security deposit back to us to boot. I am positive he does not know about giving it back within 15 days.
The Statute has three methods - only one requires a 5% interest - the surety bond method.
The second method is utilizing an interest bearing account with at least 75 percent of the annualized average interest rate payable on such account or
interest at the rate of 5 percent (simple interest) per year, whichever the landlord elects.
Touc23 is stuck on 5% - even though the LL does not HAVE to pay that amount just because that is their contention, does not make it so.
There are no banks that pay 5% interest in this economy and I'm quite sure that Touc23 can verify that on thier own.
Regardless, none of this has any bearing on the matter of the last month's advance rent being less than the current rent, and the fact that Touc23 is responsible for the difference.
The second method is utilizing an interest bearing account with at least 75 percent of the annualized average interest rate payable on such account or
interest at the rate of 5 percent (simple interest) per year, whichever the landlord elects.
Touc23 is stuck on 5% - even though the LL does not HAVE to pay that amount just because that is their contention, does not make it so.
There are no banks that pay 5% interest in this economy and I'm quite sure that Touc23 can verify that on thier own.
Regardless, none of this has any bearing on the matter of the last month's advance rent being less than the current rent, and the fact that Touc23 is responsible for the difference.
It's not so much the 5% interest as I do know that no banks pay that much these days. It is more the fact that he is a jerk and I want to get out of paying him any more than I already have. It seems to be the concensus that we owe the guy the money, so I guess we will pay him and then deal with the security deposit issue when he neglects to pay it back to us.
We have already agreed to a $100 charge for carpet cleaning. We have not done any damage to the place aside from normal wear and tear. We are leaving the damage to the termites and they are working feverishly to take it back to nature in short order.
Thank you to everyone for the help.
We have already agreed to a $100 charge for carpet cleaning. We have not done any damage to the place aside from normal wear and tear. We are leaving the damage to the termites and they are working feverishly to take it back to nature in short order.
Thank you to everyone for the help.