Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
General Landlording & Rental Properties
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 4 years ago, 08/10/2020

User Stats

52
Posts
76
Votes
Alexander V.
  • United States
76
Votes |
52
Posts

Charging move-out damages to tenant's CC like a hotel - legal?

Alexander V.
  • United States
Posted

Hello,

I hope never to be in this situation, but we've all heard or experienced the story of tenants who are evicted (or just leave on bad terms) and trash their unit before they move out. That's what a security deposit is for, but the security deposit may not cover everything in such a situation. Hotels solved this problem long ago--require a credit card on file. If the guest damages the room, just charge their credit card since they already authorized it when they signed in.

I've never heard of a landlord doing this. Is it illegal? Can you require a credit card on file and include a clause in the lease agreement stipulating that damages beyond the security deposit may be charged to the credit card at the prerogative of the unit owner? Does the legality of this vary by state?

Loading replies...