Can I use my deposit to pay the last month's rent?

Question

José Manuel Alburquerque · Accepted Answer

Not on your own initiative. The statutory deposit (the “fianza”) is not an advance payment of rent but a guarantee of whatever you owe at the end of the tenancy, including damage to the property. It is returned to you once the landlord has checked the condition in which you leave the property. If you stop paying the last month without an agreement, that is non-payment, with the risk that you will be asked for the rent and also for any damage that comes to light. You can do it if the landlord agrees and you put it in writing. Why it is unwise to do it on your own initiative Rent is owed until the tenancy ends. If you do not pay the last month, it is non-payment like any other. If you are still living in the property, the landlord can claim the rent from you and even bring a possession claim for non-payment, after trying to reach an agreement. If you have already left, the landlord will apply the deposit to that rent. Nothing will then be left to cover any damage the landlord finds, which he or she can claim from you separately. How to do it properly If you both agree, put it in writing, stating the month paid with the deposit and what will happen if damage comes to light when the keys are handed over. For the landlord, the risk is being left without security for that damage. In Catalonia, moreover, the landlord has lodged the deposit with the “Institut Català del Sòl” (INCASÒL, the Catalan public body that holds tenancy deposits) and does not get it back until he or she asks for the deposit to be cancelled at the end of the tenancy. In practice, the landlord advances the money. The same applies to the letting of commercial premises and to any additional guarantee.