December 3, 2012

Tenants fee free way of paying rent - review of RTRA Act

Response to the RTA review of the RTRA Act

Item 1.8 Rent payment methods – rent cards ss 83 84  

Not supported

The option to amend the Act requiring tenants a fee free option to pay rent is not supported. The 2009 implementation of the Residential Tenancies and Rooming Accommodation Act provided tenants with options and information as to payment methods and any associated costs in relation to rent payments.  Section 83 currently provides approved ways for tenants to pay rent along with section 84 requiring lessor/agents to advise tenants in writing about associated costs that may be incurred should that payment method be offered (as outlined in section 83 (4) (g) ) .   

With the most common fee free payment being cash, this policy suggestion is a large concern to the Real Estate sector due to security and safety of staff. Many modern businesses generally across all industries are moving (or have moved) to cashless organisations. This without doubt is for two reasons;

·        Staff safety and security; and

·        Increasing insurance costs for businesses due to higher risk

Tenants as a valued consumer and party in the tenancy relationship are made aware what payment options are through the agency prior to being committed to a tenancy currently. Regrettably if the payment terms do not suit their personal requirements, the tenant then has choices in relation to commitment to that particular tenancy.  
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