Trick leads to costs This is why tenants should check their contracts carefully
Landlords who specify a reference interest rate that is too low in rental agreements risk these agreements becoming invalid. Tenants should be aware of their rights and take action if necessary.
No time? blue News summarizes for you
- Anyone signing a rental agreement should always check the current reference interest rate.
- If the reference interest rate in the rental agreement is too low, landlords may be able to increase the rent at any time.
- There is also a risk that if the reference interest rate is actually lowered, tenants will not receive the rent reduction to which they are entitled.
The prospective tenant concerned noticed the error and complained, whereupon the administration explained that it expected the reference interest rate to be lowered soon. If the prospective tenant wanted the correct interest rate in the contract, the rent would have to be increased, as reported by SRF.
If the reference interest rate in the rental agreement is too low, landlords can increase the rent at any time. There is also a risk that if the reference interest rate is actually lowered, tenants will not receive the rent reduction to which they are entitled as they will not notice the incorrect interest rate in the contract. This could lead to financial disadvantages for the tenants.
Legal situation and options for action
According to lawyer Daniel Stähli from the Federal Office for Housing, a reference interest rate that is too low in the rental agreement is not permitted, reports SRF. The official reference interest rate is binding, regardless of what is stated in the contract.
Tenants can still demand a reduction in their rent if the reference interest rate is lowered, even if the contract states an incorrect interest rate. Rahel Gsponer from the St. Gallen Tenants' Association emphasizes that tenants should act proactively to exercise their rights.
Should the reference interest rate actually fall, tenants are advised to write a registered letter to their landlord. In this letter, they should point out the fall in the reference interest rate and request an adjustment to the rent at the next possible date. As many landlords do not offer to lower the rent on their own initiative, it is important that tenants take action themselves.
