Plain language law

New Zealand law explained for everyone

Plain Language Law homepage
17A: Requiring letting fee prohibited
or “ Tenants cannot be made to pay extra money just for renting a house. ”

You could also call this:

“The landlord can only ask for a bond that's equal to 4 weeks' rent or less.”

You can’t be asked to pay a bond that is more than 4 weeks’ rent. This is based on the rent you’re supposed to pay according to your tenancy agreement.

If your rent goes up, your landlord can ask you to pay more for the bond. They can only ask for the amount that makes up the difference between the old bond and 4 weeks of the new rent.

If your rent goes down, you can ask for some of your bond back. You’ll need to apply to the chief executive to get back the extra amount that’s more than 4 weeks of your new, lower rent.

If a landlord breaks these rules, they’re doing something illegal. They might have to pay a fine or an infringement fee. The amount they’d have to pay is listed in Schedule 1B.

This text is automatically generated. It might be out of date or be missing some parts. Find out more about how we do this.


Next up: 18A: Landlord must not require security other than permitted bond

or “Landlords can only ask for a bond and nothing else to make sure tenants pay rent or follow the rules.”

Part 2 Tenancy agreements
Key money, bonds, and rents

18Bonds to be no more than 4 weeks' rent

  1. A landlord shall not require payment by way of bond of an amount greater than 4 weeks' rent lawfully payable under the tenancy agreement.

  2. On the lawful increase of the rent, the landlord may require payment by way of bond of a further sum not exceeding the amount by which the rent payable for 4 weeks has been increased.

  3. On the decrease of the rent, the amount by which the total sum already paid by way of bond exceeds the rent payable for 4 weeks following the decrease shall, on application to the chief executive by the person who paid the bond, be refunded to the tenant.

  4. A landlord who contravenes this section—

  5. commits an unlawful act; and
    1. commits an infringement offence and is liable to a fine or an infringement fee specified in Schedule 1B.
      Compare
      • 1973 No 26 s 21
      • Residential Tenancies Act 1978–1981 s 32(1), (1A), (1B) (SA)
      Notes
      • Section 18(3): amended, on , by section 19 of the Residential Tenancies Amendment Act 1992 (1992 No 79).
      • Section 18(4): replaced, on , by section 14 of the Residential Tenancies Amendment Act 2020 (2020 No 59).