Rental guarantee regulations under Brazilian Tenancy Law

Under Brazil's Tenancy Law (Lei nº 8.245/1991), landlords may require one of four types of rental guarantees: security deposits (caução), personal guarantees (fiança), rental insurance (seguro de fiança locatícia), or the fiduciary assignment of investment fund quotas.

Article 37 of the law prohibits requiring more than one type of guarantee in a single contract; doing so is considered a criminal misdemeanor and can render the guarantee null and void.

Regarding cash security deposits, the law stipulates that the amount cannot exceed three months of rent. These funds must be deposited into a savings account (caderneta de poupança), and any interest earned belongs to the tenant upon the return of the deposit. Landlords are generally permitted to use the deposit to cover unpaid rent, charges, or specific damages caused by the tenant, excluding normal wear and tear.