CEPI signs first commercial collaboration agreement 

CEPI and EuroKaution signed a collaboration agreement in which parties recognize each other as potential exclusive partners for the delivery of a limited insurance service covering the rental security deposit and wish to jointly design a cooperation agreement serving the objective as set above. In addition, CEPI will provide some consultancy work and EutoKaution will give support to CEPI information projects and education efforts.Similar collaboration agreement has been signed between EuroKaution and IVD in Germany, and with SVIT in Switzerland. Agreements with other CEPI member associations are welcome.

CEPI and EuroKaution both see benefit in a cooperation regarding a relevant presence in Europe, to develop business models for rental security deposits and strengthen information pertaining to profession related regulation, herewith supporting the constituent members of the CEPI Member Associations.

EuroKaution stays for a new form of rental deposit guarantee for up to three months rent, so relieving landlords from credit rating checks and reducing administration costs while giving tenants financial leeway. EuroKaution offers a maximum guarantee of 12.000€ for private tenants and asks for an annual premium of 5% in relation to the extent of the guarantee.

The tenant benefits from this rental deposit guarantee as he/she enjoys greater flexibility during the removal phase by avoiding double the liquidity charge so freeing up liquidity in the process. No need therefore to use a credit line and risk liquidity bottleneck. Greater security is further offered thanks to a clean separation from the landlord's assets. 

This means no cash deposit. The tenant has the money available at his free disposal and homes are easier to rent via the rent guarantee because financial obstacles no longer apply to persons seeking a change in accommodation. 

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