What is blacklisting and how does it work?

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When tenants apply for a property, property managers - on behalf of landlords - access and check one of Australia’s tenancy databases to see if the tenant is ‘listed’ on the database. They do this as part of the tenant selection process to ensure they have selected a tenant for their landlord who will be a reliable payer and be respectful of the landlord’s property.

There are a few national tenancy databases operated by tenancy screening services such as the National Tenancy Database (NTD) and TICA, which contain information about the tenant’s rental history. If a person is on the list, it likely means an agent or landlord has reported them for breaching the terms of a previous lease.

By law, property management agencies must firstly notify the tenant in writing why they are being blacklisted before listing them on a tenancy database. They must also tell the tenant which database they are being listed on. This formal notice will allow tenants time to appeal against the decision and talk with their property manager about ways to solve the problem before being blacklisted (for example, putting in place a plan to pay the rent).

Tenants can also appeal against a listing if it's incorrect, out of date or believe it to be unfair. Three years is the maximum length of time personal information can be held on a tenancy database.

Reasons you can be blacklisted

Being consistently late with your rental payments or owing rent that is in excess of the bond amount.
Causing malicious property damage which is over and above “reasonable wear and tear” and not rectifying or paying for it.
As a tenant, you are required to pay your rent in full and not rely on your rental bond to cover any outstanding amounts.
Repeated breaches of your lease agreement.
Objectionable behaviour.

Generally, tenants can only be blacklisted at the end of a lease or as the result of a tribunal order.

Of course, there are tight rules and guidelines which cover why a tenant can be listed on these databases.

If you are unsure about blacklisting guidelines, speak to your Property Manager today via 07 3105 5777

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