Apply Deposit as a Tenant Credit

You can apply a portion or the full amount of a tenant deposit to their tenant ledger to pay for a charge (eg, rent or damages) either during a tenancy or on move-out.

More information about crediting last months rent to a tenant ledger can be found here: Last Month's Rent 

Apply Deposit as Tenant Credit

To credit a tenant the amount or portion of their security deposit to their tenant ledger, follow these steps. 

In your Rentec Direct account: 

1. Click Tenants 
2. Right-click and choose View Ledger from their menu (or click on the tenant ledger balance).
3. Click the On Deposit button to enter the deposit ledger


4. Select the Apply Deposit as Tenant Credit action
5. Specify the Amount that you are crediting back to the tenant
6. Select the Category you wish to apply the funds to.  
   
   Note: If you are transferring funds from one bank account to another, select the bank account you're holding the funds in and this transaction will transfer funds out of the holding bank account and into the Property's default income account. Because this transaction is associated with the property's default income account, the tenant will need to be placed into a property in order for credit to be applied to their ledger, if the tenant is "inactive" the credit will not post correctly, but will be debited from the holding bank account.
7. Add a Memo as needed
8. Click Save Changes when finished
   
   Special Note: If you need to delete a Apply Deposit as Tenant Credit you will need to also manually delete the transaction from the tenant, property or any bank account ledgers you linked into those transaction.
   
   

   Information on how to delete transactions can be found here : Edit, Correct, or Delete a Transaction

To make sure a tenant statement is accurate before printing, either before or after you've applied a deposit as a Tenant Credit, you can reconcile the tenant's account by posting any necessary charges to the tenant's regular ledger.  

System note: The Charge Against Deposit option above is not an active option unless you specifically activate it in your Settings. Enabling the option may break trust accounting guidelines as an expense added directly against a deposit doesn't offer an affiliated expense with the charge. Instead, we recommend first following the above instructions to Apply Deposit as a Tenant Credit and then Charge Against Deposit in the tenant ledger. 

More information on how to charge against a deposit in the tenant's ledger can be found here: How to Charge an Expense Against a Tenant Deposit