What is INCASOL and how should the rental bond deposit be made?
May 18, 2023
Were you a landlord in Catalonia and wondering what the Català Sòl Institute is (INCASOL) and how to deposit the required deposit that covers each rent ? Do not look any further. In this article we will answer your questions and clarify what INCASOL is, who must pay the deposit and the term to do so. So let's go straight to the topic.
What is INCASOL?
In Catalonia, landlords are legally obliged to deposit the bail with the public entity, which oversees this process in Catalonia, called the Institut Català del Sòl (INCASOL) . This measure is intended to protect tenants from possible abuses by landlords and ensure that they comply with their obligations. Normally, the amount of the deposit ranges between one and three months' rent, depending on the type of rental and duration or what is agreed by the parties at a contractual level. The deposit must be paid within the first 60 days of the rental agreement. It is not mandatory to enter a deposit for contracts of less than 60 days.
The Institut Català del Sòl (INCASOL) is in charge of managing the rental bonds, as well as imposing the necessary fines or surcharges when the owners do not comply with the established regulations. This institution contributes to creating a fair and transparent system for the management of rental bonds in the Catalan housing market. The money that landlords pay into INCASOL is used to invest in the construction of public housing and/or urban renovations.
Who must pay the bond to INCASOL?
In Catalonia, landlords are legally obliged to deposit the deposit. If this requirement is not met, severe fines and surcharges may be imposed. Therefore, it is essential to make the payment in a timely manner and through the correct channels.
Owners must be aware of their responsibility. Regardless of whether the tenant who has paid this deposit is a natural person or a legal entity, the owner must control the deadlines and ensure that the deposit is paid within the legal term.
What is the term to enter the bond in INCASOL?
The timely payment of a deposit to the Institut Català del Sòl is an essential obligation for landlords in Catalonia. According to the law, the deposit must be deposited within a maximum period of two months (60 days) from the beginning of the contract. Failure to comply with this requirement results in fines. It is vital that owners are aware of this deadline and ensure that the deposit is paid on time to avoid any legal repercussions.
Owners should also keep in mind that if the lease is renewed rent and if the rental amount increases, the deposit must be regularized before the INCASOL. The term to update the deposit is also two months, from the date of renewal of the contract. Failure to comply with this stipulation will result in sanctions. Said sanctions designed to motivate owners to comply with the law and guarantee the safety of tenants range from 5% of the value to be paid up to 25%.
What documentation do I need to make the deposit of the bond in INCASOL?
Before starting the process, it is essential to verify that you have the following documents required in the deposit deposit process: signed lease and annexes; in case of endorsement, a commitment document with the signatures of both parties, if applicable; the cadastral reference (which can be easily consulted on the Cadastre website or on the IBI receipt); a Simple Note from the Property Registry in case of subrogation of the landlord and finally the NIF/NIE/Passport of the person who carries out the procedure, only if the procedure is in person. Keep in mind that if the lease is written in a foreign language, it is necessary to submit a literal translation into Catalan or Spanish.
In what means of payment can I make the deposit ?
Online procedure: CaixaBank, Banco Sabadell and BBVA offer an easy and convenient way to pay the rental deposit. Payment can be made on the web by credit or debit card, through Servicaixa, CaixaBank, Banco Sabadell and BBVA ATMs, or by check payable to INCASÒL.
Face-to-face processing in INCASÒL: It is necessary to arrange a prior appointment to make the face-to-face payment of the rental deposit. Different forms of payment are accepted such as credit or debit card, cash in offices, bank check or check payable to INCASÒL.
Processing in person at the Chambers of Urban Property: Only cash payment is accepted.
In-person processing at the Citizen Service Offices (OAC): The Citizen Service Offices (OAC) also accept means of payment such as credit or debit cards and checks payable to INCASÒL.