Borrowing the security deposit for a rental from a relative is possible with a written note and a traceable bank transfer, but Action Logement's Loca-Pass advance, interest-free up to 1 200 €, is often the first option to check before any private loan.
Caution, deposit, guarantor: getting the French terms right
In everyday French, the word caution usually means the sum paid to the landlord when moving in. Legally, that sum is the dépôt de garantie, or security deposit, while the caution is the guarantor who promises to pay the rent if the tenant defaults.
Legal caps on the security deposit in France
Under the law of 6 July 1989, the security deposit cannot exceed one month's rent excluding charges for an unfurnished home and two months for a furnished one. A landlord who demands more is acting outside the legal framework.
The Loca-Pass advance, Action Logement's zero-interest loan
Action Logement offers the Loca-Pass advance of up to 1 200 €, interest-free, repayable over a maximum of 25 months with at least 20 € per month and a three-month deferral. It is aimed in particular at private-sector employees and people under 30.
When a family loan is still needed
Civil servants, some self-employed workers and anyone outside Action Logement's criteria must find another source. A parent or friend can then advance the deposit, ideally with a written note even for a modest sum, as with any loan between friends or family.
A simple agreement for a few hundred euros
Above 1 500 €, the French Civil Code requires a written document to prove a loan. Below that threshold, a signed IOU stating the amount in figures and in words, plus the address of the rented home, prevents misunderstandings between relatives.
Tying repayment to the return of the deposit
The landlord must return the deposit within one month if the move-out inspection matches the move-in report, or two months otherwise. The agreement can state that this sum repays the lender directly, with extra monthly payments if deductions are made.
Students and young workers renting for the first time
In Paris, Lyon or Toulouse, a student often has to gather the first rent, the security deposit and agency fees within a few days. Our page on peer-to-peer loans for students covers further options, including support from the CROUS student services.
Visale: a free guarantor instead of a relative
When the landlord also asks for a personal guarantor, Action Logement's Visale guarantee can replace a family guarantor free of charge for eligible tenants. This avoids tying a parent to several years of rent on top of lending the deposit.
Fake landlords who collect the deposit remotely
A very cheap flat on Leboncoin, an owner who is supposedly abroad, keys promised after the deposit is wired: this is a classic scam. Never pay the deposit before visiting and signing the lease, and report the listing on PHAROS, the French online reporting platform.
Fake lenders targeting tenants in a hurry
Some social media profiles offer to fund your deposit within 24 hours in exchange for insurance fees or a copy of your documents. These requests often hide identity theft or an advance-fee loan scam aimed at desperate renters.
Tax reporting: rarely relevant, but worth knowing
A loan for a security deposit rarely exceeds 5 000 €, the threshold above which the borrower declares the loan on formulaire 2062, the French tax form for declaring loans. For an upmarket furnished flat, check this point anyway.
Where to get free advice on the security deposit
The departmental housing information agencies, the ADIL network coordinated by ANIL, answer questions about the lease, the deposit amount and its return free of charge. Tenants' associations can also support you in a dispute with the landlord over the deposit.
How to fund a rental deposit without falling into a trap
- Check in the lease that the deposit respects the legal cap of one month excluding charges unfurnished, two months furnished.
- Test your eligibility for the Loca-Pass advance and the Visale guarantee on the Action Logement website.
- Failing that, ask a relative for help and draw up an IOU that mentions the address of the rented home.
- Receive the funds by bank transfer, then pay the landlord by transfer only after the visit and the lease signature.
- Agree on the monthly repayment and on how the deposit returned at the end of the lease will be used.
- Keep the move-in inspection report, which helps you recover the deposit and repay the lender.
Cost comparison for funding a rental deposit
| Option | Indicative cost | Condition |
|---|---|---|
| Loca-Pass advance | 0 % interest, up to 1 200 € (indicative) | Action Logement eligibility |
| Loan from a relative | Often interest-free | IOU recommended |
| Visale guarantee | Free for eligible tenants | Replaces the guarantor, not the deposit |
| Bank revolving credit | High rate, below the usury rate | Avoid for a small sum |
| Deposit wired to a fake landlord | Loss of the full amount | Common property scam |
Useful documents for a security deposit loan
- Signed lease or draft lease showing the deposit amount
- Identity documents of the borrower and the lender
- IOU or loan agreement
- Bank details for repayments
- Proof of the transfer to the landlord
- Move-in inspection report
Mistakes to avoid with a deposit loan
- Paying the security deposit to an owner you have never met, before any visit of the property or signature of the lease.
- Accepting a deposit above the legal cap without challenging it, even though the ADIL can help free of charge.
- Lending cash to a relative without a receipt, which makes it impossible to prove the debt if you fall out.
- Sending your ID and payslips to an express lender contacted on Instagram who promises to fund your deposit.
- Taking out costly revolving credit for a deposit when the interest-free Loca-Pass advance was available to you.
Questions about borrowing a rental security deposit
Who can get the Loca-Pass advance for a security deposit?
According to Action Logement, private-sector employees and people under 30 who are working, in work-study or looking for a job, as well as some salaried students. Conditions change, so check your eligibility directly on the Action Logement website before asking a relative.
Can my parent lend me the deposit and be repaid when I move out?
Yes. State in the IOU that the deposit returned by the landlord will repay the lender. If the landlord keeps part of it for damage, the balance remains owed and must be repaid according to an agreed schedule.
Can a landlord demand three months' deposit for an unfurnished studio?
No. For an unfurnished home rented as a main residence, the security deposit is capped at one month's rent excluding charges, and two months for a furnished one. If you disagree with the landlord, your departmental ADIL will advise you free of charge.
How can you spot a fake rental listing?
Watch for an abnormally low rent, an owner abroad, a refusal to arrange a visit and a request to wire the deposit or a money order before handing over keys. Pay nothing, keep the listing and report it on PHAROS or at a police station.