Rentstart Bond Loan Part 3



Rentstart Bond Loan Part 3

Homes NSW can provide a Rentstart Bond Loan for up to 100% of the bond amount. Clients also have the option to apply for less than the full amount, but it must be no less than 25%. To learn more about how this amount is determined, check the Eligibility criteria for Rentstart assistance products.

For clients already receiving a Private Rental Subsidy or those under Rent Choice, the bond loans are based on the full rent of the property.

Clients moving into a social housing property managed by a community housing provider can receive a bond loan if they meet all the policy requirements, but they are not eligible for advance rent.

To receive a Rentstart Bond Loan, clients must agree to the terms and conditions of the loan. If there is more than one adult in the household, one adult will need to consent to be named as the borrower on the Bond Loan Agreement. Homes NSW does not allow multiple people to be named as borrowers. For more information about Rentstart assistance for multiple adult households, please see the Shared households section of this policy.

The borrower cannot transfer their responsibility for repaying the Bond Loan to anyone else who was approved at the same time. All household members can contribute payments to the Bond Loan account through the Rentstart Bond Loan Deduction Scheme or other payment methods like BPAY or online banking.

Once the landlord or agent submits a Bond Barcode or Bond Lodgement form, Homes NSW will send the bond funds directly to the Rental Bond Board. If a Bond Barcode or Bond Lodgement form is not submitted within 90 days, Homes NSW will cancel it.

Payments to Homes NSW begin once the bond is lodged and will continue until the loan is fully repaid. Homes NSW typically expects Rentstart Bond Loans to be repaid within 12 or 18 months. For information on payment plans, visit the Rentstart Bond Loan Payment Plans page.

Homes NSW retains an interest in the bond until the loan is repaid. If the tenancy ends before the loan is paid off, Homes NSW will reclaim its contribution from the Rental Bond Board after any claims made by the landlord or agent. If any money remains after repaying those claims, it will be refunded to the client. If the landlord’s claim exceeds what the client has repaid, the remaining amount becomes a former Rentstart Bond Loan debt, which the client must repay to Homes NSW.

Clients must notify Homes NSW of any name changes while the Rentstart Bond Loan is active to ensure that all loan arrangements, including refunds or managing arrears, can be properly handled. For more details, see the Change of name requirements when a Rentstart Bond Loan is in place section.

Payments on the Rentstart Bond Loan are due to Homes NSW every two weeks. Payment amounts are calculated based on the bond size and payment period. The minimum payment is $10 per fortnight. For more specific information about payment amounts, please visit the Rentstart Bond Loan Payments page.

Clients receiving Centrelink income are required to make payments using the Rentstart Bond Loan Deduction Scheme, where payments are automatically deducted from their Centrelink benefits every fortnight. Clients not receiving Centrelink payments can use other methods, such as BPAY and online payments. Homes NSW expects clients to fulfill their Rentstart Bond Loan payment obligations, but arrangements can be adjusted if clients find it difficult to make payments. More information about this can be found in the Rentstart Bond Loan Account Management policy.

Homes NSW will not approve a Rentstart Bond Loan if a bond for the tenancy has already been lodged with the Rental Bond Board.