Renting abroad: how deposits work in Germany, England and Ireland

Deposit rules differ between countries, so practice in your home country may not apply. This guide compares what the official sources say about deposits in Germany, England and Ireland. It does not give rents, because we have no verified city budgets yet.

Rules differ inside the UK. We cover England, and gov.uk says Scotland and Northern Ireland run their own deposit schemes. Wales has its own legislation which we have not read.

Germany: a cap, instalments, and interest to you

Section 551 of the German Civil Code (BGB) caps a rental deposit at three months' base rent, not counting operating costs charged as a flat fee or advance. If the deposit is paid in cash, you can pay it in three equal monthly instalments: the first when the lease starts, the others with the next rent payments. The landlord must put a cash deposit in a bank account kept separate from their own money, at the usual rate for three-month-notice savings accounts, and the interest belongs to you and increases the deposit. Student and youth dormitory landlords are not required to pay interest.

Separately, German law requires you to register with the local residents' registration office within two weeks of moving into a dwelling. That is a legal duty, not a housing cost, but your tenancy is what triggers it.

England: a cap and a protection scheme

The Tenant Fees Act 2019 caps a deposit at five weeks' rent where annual rent is under £50,000, and six weeks where it is £50,000 or more. Anything above is a prohibited payment. One week's rent is annual rent divided by 52. The legislation page we read was an archived snapshot, so check the live page for later amendments.

Gov.uk says the landlord or agent must place your deposit in a government-approved scheme within 30 days of receiving it. In England and Wales the schemes named are the Deposit Protection Service, MyDeposits and the Tenancy Deposit Scheme. The landlord must return the deposit within 10 days of you both agreeing the amount. A holding deposit does not need protecting at first, but once you become a tenant it counts as a deposit and must be protected. A deposit paid by a third party, such as a parent, must also be protected. The gov.uk page says a new tenancy type replaced assured shorthold tenancies on 1 May 2026, so read the current page for your tenancy type.

Ireland: deposit plus advance rent, both limited

The Residential Tenancies Board FAQ (updated July 2021) says a deposit cannot exceed one month's rent, and advance rent cannot exceed one month's rent, so you cannot be asked for more than two months' rent in advance to secure a tenancy. Students in student-specific accommodation may pay more in advance by choice, if the provider agrees. A tenant asked for more can bring a dispute to the board, even before the tenancy starts.

Side by side

These are not equivalent: a month, a week and a base rent are different measures, and each cap has its own exceptions.

Practical checks before you pay anything

• Ask in writing how much is deposit, how much is rent in advance and how much is other fees.
• Compare the amount with the cap for the country and rent level.
• Ask where the deposit will be held, and get that in writing.
• Before paying, check that you have seen the property and know who the landlord is, and keep every receipt.
• If an amount appears to be above the cap, check the official page before paying. A cap is a legal limit, not a statement about what a landlord will ask.