Security deposits
Security deposits protect your property against unpaid rent, damages, and other unpaid charges that may be legally deducted at move-out. When configuring a property to use Whale, properties decide whether to collect standard deposits only, conditional deposits only, or both.
Standard Deposit: The standard deposit amount required for the property.
Conditional Deposit: The amount required for a higher-risk applicant when you'd like more protection against unpaid move-out charges.
Collecting the deposit
PMS Integrations
For properties that have integrated their PMS with Whale, each property sets their standard and conditional deposit amounts in Whale Admin as a fixed amount (e.g. $500) or a multiple of monthly rent (e.g. 1x).
Learn more about setting property deposit amount defaults here.
Whale then uses the application screening decision to determine if a standard or conditional deposit is required and automatically sends the deposit request based on the property's settings.
Learn how Whale calculates deposit amounts here.
Example
A property has set their standard deposit = $500 and conditional deposit = 1x monthly rent. Peter's application is approved but with conditions. Whale sends Peter a deposit request for $1,575 (1x monthly rent).
Manual Integrations
For manual integrations, the property specifies the deposit amount when submitting a new move-in in Whale Admin.
Locking and returning the deposit
Once collected, Whale locks the deposit until the property releases the funds at move-out. The renter earns interest on their deposit, paid monthly, for as long as funds remain in their Whale account. At move-out, Whale deducts any amount owed to the property (up to the total amount held, including any pet deposits) and sends it to the property’s bank account. The remainder is immediately unlocked in the renter’s account.