The tenant is generally required to pay a bond (also known as security deposit or rental bond). This is paid by the tenant before moving into the house or flat. The bond is calculated by reference to the weekly rent.

From 1 April 2023, where the rent does not exceed $800 per week, the maximum bond is the equivalent of four weeks rent. However, where the weekly rent is more than $800, the maximum bond is the equivalent of six weeks rent [see Residential Tenancies Act 1995 (SA) s 61(3) and Residential Tenancies Regulations 2010 (SA) reg 8]. A landlord who breaches these requirements may be fined up to $25,000 (expiation fee ($1,200) [Residential Tenancies Act 1995 (SA) s 61].

Previously, where the rent did not exceed $250 per week, the maximum bond was the equivalent of four weeks rent and where it was more than $250 per week, the maximum bond was the equivalent of six weeks rent. This still applies to the bond paid or payable under residential tenancy agreements entered into prior to 1 April 2023. In other words, tenants cannot get a bond refund based on the changed maximum bond amounts.

All bonds paid in relation to premises in South Australia must be lodged with, and are held by, the Commissioner for Consumer Affairs [s 62]. They provide security against:

It is the responsibility of the landlord to lodge the security bond with the Commissioner within 2 weeks (registered agents have up to 4 weeks) [see s 62(2) and Residential Tenancies Regulations 2010 (SA) reg 9(1)]. From 1 July 2024, a tenant may themselves lodge their bond with the Commissioner who will then notify the landlord or the landlord's agent of the receipt of the amount, including the date it was received, from whom it was received and the relevant premises [s 62(3)]. If an amount received by way of bond is not within the definition of bond, the Commissioner may refund the amount [s 62(4)].

Once a bond has been lodged a landlord can ask a tenant to increase this bond by giving 60 days notice, but only at 2 yearly intervals and it cannot be increased beyond the ceiling referred to above.

When bond money is paid the landlord or real estate agent must provide a receipt within 48 hours [Residential Tenancies Act 1995 (SA) s 62]. The tenant must also sign a form which the landlord or real estate agent must send with the bond money to the Commissioner. After the Commissioner has received the money and the properly signed form, a bond number and receipt are sent to the tenant. If this number is not received within a reasonable time it is possible that the bond money has not been lodged and Consumer and Business Services should be notified immediately.

There is an online facility called Residential bonds online through which registered agents, landlords and tenants can check the status of their bond.

For more information about the return of the bond, please refer to Finalising a tenancy.