- Online system means most bonds returned within 48 hours
- Red tape reduction program delivers savings for tenants and businesses
Western Australian tenants will benefit from a new secure electronic transaction system for lodging bonds, which will make it quicker and easier for them to receive their security bonds back.
Commerce Minister Michael Mischin said the ‘BondsOnline’ system would eliminate the need for paperwork, therefore reducing administration, data entry and printing costs to real estate agents and the State Government.
“BondsOnline ensures the transactions associated with rental bonds will be fast, easy and secure for tenants, real estate agents and, over time, private landlords,” Mr Mischin said.
“Most tenants will now receive their bond money back within 48 hours, once the tenant and agent have agreed on the amount to be returned and have approved the electronic transaction.
“For tenants going from one rental to another, it means less time being out of pocket with the quicker turnaround. Previously, there was an average wait of eight to 12 days, with some bond disposals taking up to a month under the paper-based processing system.
“There are safeguards in place to ensure that the bond money is only released when the agent and the tenant agree on the amount to be returned. Any bond disputes still need to be settled in the Magistrates Court.”
Paper lodgements will continue to be accepted for those tenants who do not have an email address or mobile phone number and are unable to access the online system.
The Minister said the new system was part of the State Government’s wide-ranging regulatory reforms and had been successfully trialled for the past five months by a group of real estate agents nominated by REIWA.
“The real estate agents report that eliminating the need to process paperwork increases efficiency and productivity of their business while reducing costs and red tape,” Mr Mischin said.
The property industry is also benefiting from major conveyancing efficiencies delivered by the Government’s red tape reduction program.
- The Bond Administrator at the Department of Commerce currently holds in trust almost 200,000 bonds valued at about $360 million
- For more information, visit http://commerce.wa.gov.au/bondsonline
Source: New Release, Government of Western Australia, 20 August, 2015