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Alternatives to Deposit in Amsterdam: Guarantee System and Bank Guarantees

Replace the deposit with guarantee system or bank guarantee in Amsterdam: local costs, benefits and legal status according to the DCC.

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Guarantee System in Amsterdam

Since 2015, the Guarantee Fund has offered affordable guarantees to Amsterdam tenants as an alternative to cash deposit (max. €650 one-time). Ideal for the tight rental market in neighborhoods like De Pijp or Oud-West. Fully covered by the fund, without interest for the landlord and with quick processing via local real estate agents.

Bank Guarantee for Amsterdam Rental Agreements

The tenant provides a bank guarantee (1-3 months' rent, often €2,000-€4,500 in Amsterdam). Costs are around 1-2% per year at banks such as ING or ABN AMRO. In case of default, the landlord claims directly from the bank, which fits the strict rental rules in the city.

Advantages and Disadvantages in the Amsterdam Context

OptionAdvantagesDisadvantages
DepositSimple and familiar to Amsterdam landlordsTied-up capital in an expensive city
Guarantee SystemLow rate, popular in Centrum and ZuidLimited administration via fund
Bank GuaranteeNo cash tied up, flexible for expatsAnnual costs due to high rents

Legal Equivalence in the Netherlands

Article 7:249 DCC recognizes these alternatives as equivalent to the deposit, also for Amsterdam rental properties below the liberalization threshold. The choice lies with the tenant, but always check the Rent Tribunal in case of disputes in the region.