Covid oppresses us. In many cases it puts our finances in a tight spot. Up to multiplying an unfortunately widespread problem: the arrears of tenants. Sometimes innocent, especially in this difficult moment, due to the objective difficulty in meeting commitments. In these cases, given the current times, the classic old rule applies: a little patience, understanding (when our tenant objectively deserves it) and a healthy search for a shared solution before moving on to legal action. This does not mean that we can, and perhaps we must, do something more. Getting ready in time. When signing a lease, it is therefore important that the landlord seeks preventive solutions that can limit the damage deriving from the tenant's lack of liquidity with the loss of income for the homeowner and, consequently, the beginning of an always long and complicated eviction procedure for the tenant.
The basic guarantees
The basic guarantee instruments most used by the property owner are: the security deposit; verification of the tenant's pay slip; the request for one surety banking or insurance.
The first guarantee that the landlord may request before signing the lease is the security deposit, i.e. a sum of money corresponding to the sum of a few months' rent (at least a couple, typically three, but even more). The corresponding sum, which is retained by the owner and returned at the end of the lease with the payment of legal interest, has the purpose of protecting, as the first "barrier" in the event of problems, the homeowner from any defaults put in place by the tenant due, for example, to the non-payment of certain rents or possible damages caused to the property.
Another protection tool used by the landlord consists in collecting, by asking the lessee, all the useful information that can be found on the payslip, regarding the employment contract of the person who intends to rent the property. This check allows the landlord to know the economic availability of the subject for future payments.
In the event that the tenant is deemed solvent but decides not to pay the rent, the owner, represented by a lawyer, after having requested an injunction from the court, can proceed with the distraint of assets (real estate but also part of the salary or pension) and, even subsequently, can request the court to initiate the eviction procedure.
A further "preventive" means of protection widely used in recent years with the onset of economic crises and even more in the latter period for the damage caused by the Covid-19 pandemic, is the surety, an institution governed by civil law (art. 1938 civil code).
The guarantee consists of a contract in which a guarantor, which can be a bank or an insurance company, undertakes to pay the rents on behalf of the tenant for a certain duration and coverage, in the event of a lack of liquidity. There are two types of guarantees: bank guarantees and insurance guarantees
The bank guarantee
The bank guarantee consists in obtaining the guarantee given by the bank to protect the homeowner from the risk of insolvency of the tenant. In the event that the home owner requests this guarantee instrument, the tenant will have to contact any credit institution that offers this type of product. The credit institution, before granting the guarantee, must ascertain the stability, the economic solvency and of the tenant's properties by verifying all the useful information, including: identity card, tax return 730 or single model, pay slip, copy of the lease contract. The disbursement of the guarantee by the bank provides for an opening cost and the payment of commissions normally to be paid annually in a fixed amount and/or as a percentage.
Often, the clause called "first demand surety" is included in the surety agreement, characterized by the presence of three parties, the debtor (or the tenant), the beneficiary (the home owner) and the guarantor. This institute provides for the hypothesis in which if the owner of the property has established a guarantee including this clause, the debtor, when he defaults on his contractual obligations, can request, through a simple request, the payment of the unpaid fees directly to a guarantor or to the bank, without the latter being able to raise any objection.
The insurance surety
When the guarantee is provided not by a credit institution but by an insurance company, we are talking about an insurance guarantee. To request it, the tenant must take out a guarantee policy with an insurance company, which provides for the advance payment of the premium for the entire duration of the contract, which varies according to the amount of the same policy.
In the event that the tenant is unable to pay the monthly rental fee, the landlord, after waiting 30 days for the contractual obligations to be fulfilled, must report the tenant for arrears in the following 30 days.
To initiate the recovery procedure of the sum provided for by the insurance guarantee, the owner must present to the insurance company: a copy of the duly registered lease contract, a copy of the insurance policy, a copy of the judicial order validating the eviction due to arrears. If the practice is successful, the insurance company will take care of the payment.
The differences between guarantees
The most significant differences between the bank guarantee and the insurance one, in terms of charges and real guarantees, are: the access threshold, the timing of disbursement, the costs.
With regard to the access threshold before obtaining the bank guarantee, the bank requires a very careful investigation, also through the Credit Information System (CRIF) in order to verify the stability and economic solvency of the applicant. The insurance surety, on the other hand, provides for a very low access threshold, as the person who stipulates it must only show their identification documents, such as identity card, duly registered lease contract and the latest tax return.
As for the delivery times, the insurance surety procedure can only be started after the property owner has completed the legal procedure for the eviction. The timing of payment of compensation they are immediate, unlike the bank guarantee in which the preliminary investigation process is slower and therefore the times are dilated.
Finally the costs. As far as bank guarantees are concerned, they tend to be higher than insurance guarantees. In fact, at the time of the concession, the tenant will be entitled to pay a fixed annual commission, equal to 1-2% of the amount that the bank undertakes to guarantee. Instead with the insurance guarantee, the insurance premium can be paid in monthly installments or if you prefer in a single solution. The cost is not fixed but may depend on many variables, such as: amount of the guarantee or guaranteed ceiling, duration of the policy which will depend on the applicant's economic capacity, type of contract stipulated, preliminary costs, the annual interest rate established in based on the creditworthiness of the applicant.
