A rental guarantee is intended to cover the tenant's obligations under the lease. This could include for example non-payment of rent and rental charges or damage to the property.

The rental guarantee contracts involves:
- the bank issuing the guarantee
- the tenant
- the landlord, i.e. the owner of the rented property.

The amount of the guarantee is blocked on an account held by the tenant which is remunerated at the current rate. The guarantee normally lasts for the duration of the lease and is renewable.
The guarantee is in principle executable on demand. This means that as soon as the landlord receives the request by registered letter, the bank is obliged to pay all or part of the guarantee. This can be done without prior agreement from the tenant and without obligation to justify the reasons for the request.
At the end of the guarantee period or the tenancy, the funds are released and once again made available to the tenant.
In this case of on demand guarantee, the most common form of guarantee, the landlord will obtain the amount he requests from the bank without justification or agreement from the tenant, even if the tenant disputes the amount.

However, there are several types of rental guarantees, so find out about them and negotiate with your landlord before choosing one.

How much does a rent guarantee cost?