Security Deposit Replacement
Keep more cash for the move.
Eligible renters pay a smaller, non-refundable fee instead of placing a full cash deposit — while owners receive insurance-backed coverage for eligible damages and lease charges.
Cash due at signing
$3,200
Traditional deposit
$830
Replacement fee
$2,370 stays available for the move
Illustrative example. Fees and coverage amounts vary by property and lease.
Moving is expensive enough
Between first month’s rent, movers, furniture, and utility deposits, a traditional security deposit puts thousands of dollars out of reach exactly when renters need it most.
Typical cash needed to move in
≈ $8,650
First month’s rent
Movers
Furniture
Utility deposits
Security deposit — the part we can replace
Instead of holding the renter’s money in escrow, the property receives an insurance-backed guarantee for covered losses — and the renter keeps more of their savings for the move itself.
Both Sides Win
One change, two very different problems solved
For renters
Far less cash needed at signing
Savings stay available for moving costs
The whole process completes online
For owners & operators
Clearly documented coverage in the issued bond
Less deposit administration and reconciliation
A more attractive move-in offer for prospects
Eligible claims submitted through one dashboard
How It Works
Replace the deposit in four steps
1
The property offers it
The owner makes Security Deposit Replacement available for an eligible unit or portfolio.
2
The renter reviews it
They receive a personalized offer explaining the fee, the coverage amount, and their obligations.
3
We issue the coverage
After the renter accepts and pays the non-refundable fee, we confirm coverage to the property.
4
The renter moves in
They sign without the full cash deposit. If an eligible charge arises, the property may submit a claim.
Protection for the costs a deposit is meant to address
Depending on the issued bond, coverage may include eligible:
Damage beyond ordinary wear and tear
Cleaning or restoration charges
Lost keys or replacement access devices
Other documented charges permitted by the lease
Certain legal or administrative expenses
Coverage is limited to the amounts and categories shown in the issued bond.
The fee purchases a financial guarantee for the property. It does not remove the renter’s responsibilities under the lease, and tenants remain liable for damage they cause.
Unlike a traditional deposit, the replacement fee is generally non-refundable.
Lease obligations
Unchanged
01
Care for the apartment
02
Pay rent and utilities in full and on time
03
Follow every term of the lease
04
Pay for damage they cause
05
Reimburse covered amounts paid on their behalf when required
The signed lease continues to apply in full.
Less deposit administration for your team
Traditional deposits create recurring work. We manage the coverage while your team keeps documentation of the resident’s participation.
Traditional deposits
Collecting and holding renter funds
Maintaining escrow records
Calculating deductions at move-out
Issuing itemised deduction notices
Processing returns within statutory deadlines
With PandaGuarantee
No renter funds to collect or hold
We manage the coverage and the bond
Your team keeps clear participation records
Claims submitted in the same landlord dashboard
One workflow alongside your lease guarantees
FAQ
Frequently Asked Questions
Is this the same as renters insurance?
Does the renter get the fee back?
Is the renter still responsible for damages?
Can a property require both this and a lease guarantee?
Can every renter choose it?
Can a renter choose a traditional deposit instead?
Offer residents a modern alternative to the traditional security deposit.
Security Deposit Replacement is not insurance for the renter and does not cover the renter’s personal property or liability. Coverage, eligibility, amounts, and availability are subject to underwriting, property enrollment, the terms of the issued bond, and applicable state and local law. In some states, coverage is underwritten by a surplus lines insurer and placed through a licensed surplus lines agent.
Fill Vacancies, Risk-Free.
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