Assumption of Rent Arrears

Your tenancy agreement governs how much rent you pay every month and when you have to pay it. Usually, rent is due on the third working day of the month. If you are unable to pay your rent on this date, you fall behind on your payments and accrue what are known as rent arrears.

If you realise that you will not be able to pay your rent on time, let your landlord know. Contact social services and the Jobcenter as soon as you can and enquire about financial support.

If you have registered as unemployed and receive unemployment benefit 2 (Arbeitslosengeld 2, or ALG 2) for accommodation and heating, the Jobcenter is the right place to contact. If you receive cost of living benefit or basic welfare for the elderly, or are unable to pay your rent because you have a low income, please contact social services. 

Claims for the assumption of rent arrears are always decided on a case-by-case basis. You can submit an application if you are in arrears on your rent and are therefore at risk of eviction or having your tenancy agreement terminated. The assumption of rent arrears aims to ensure that you do not have to move out of your home.

Rent arrears may be assumed by social services or the Jobcenter if it is justified. This is the case, for example, if it enables you to remain in your home or resolves a similar emergency. If, however, you are at risk of becoming homeless, your rent arrears should be assumed as this is necessary and justified to enable you to stay in your home. Social services or the Jobcenter will assess whether the assumption of your arrears is necessary and justified. You have to meet the criteria listed below, among others: 

• There must be no other specific (reasonable) living space available for you to live in 

• The costs of your current home are appropriate  

• Your landlord has declared in writing that they are prepared to continue the tenancy agreement 

• You have submitted a letter of intent to remain in your home for the foreseeable future 

• You do not have any possibility of resolving this situation of your own volition (e.g. through the use of assets, by agreeing with your landlord to pay back your arrears in instalments, by drawing on savings or by borrowing money from friends or family members) 

• Your future rental payments have been ensured, for example through direct payment by the responsible authority 

The assumption of rent arrears is dependent on your income and assets. The benefit usually takes the form of a loan that you need to pay back.  

Throughout the receipt of benefits, the Jobcenter usually retains 10% of your basic requirements every month to repay the loan. The remaining loan amount must be paid back as soon as the benefit payments stop. The repayment of the outstanding amount is agreed with the Jobcenter.

Social services may also retain a portion of your basic requirements every month to pay off the loan. However, this is only possible if you have submitted a written declaration in advance stating that you will waive the benefits (known as a letter of intent).

Otherwise, there is in some cases the option of having the rent arrears or costs of your accommodation transferred directly to your landlord. This ensures that the money is only used for these purposes. 

You can submit an application for the assumption of rent arrears in writing to your social services or Jobcenter or do so directly here.

You can apply for the assumption of rent arrears in writing or online. The best thing to do is to arrange an appointment before you submit your application, to be on the safe side. 

The following steps are necessary or should be considered: 

• Optional, but recommended: Contact your local authority and arrange an appointment to review your personal and financial situation. 

• You can submit the application and supporting evidence in writing or online. 

• If you do not make an appointment, you may be invited to one. 

• Once all of your documents have been submitted (see below), an optional appointment for a home visit can also be made. 

• If no home visit is arranged, the application is submitted at your first appointment.  

• If a home visit is arranged, your circumstances at home will be reviewed. Your home will be checked to make sure it is worthy of preservation.  

• You must agree to your landlord being informed about your application for the assumption of rent arrears. 

• The responsible authority will review your application. 

• You will be notified about whether your rent arrears are to be assumed or not.  

• If the assumption of your rent arrears is approved, the arrears will be settled directly by the authority.

• If you receive ALG 2, the Jobcenter retains 10% of your basic requirement every month to pay back the loan. If you receive cost of living benefit or basic welfare for the elderly and people with reduced earnings capacity, the repayment of your rent arrears is agreed between you and social services in writing.

You can submit an application for the assumption of rent arrears in writing to your social services or Jobcenter or do so directly online here.

You will need the following documents: 

• Application for the assumption of rent arrears 

• List of current claims/rent statement 

• Payment reminder/termination/eviction notice 

• Tenancy agreement or other proof of rent to be paid, rent certificate if applicable 

• Statement of ancillary costs 

• Proof of income for all persons in the household (e.g. wage slips, Jobcenter notices, children’s income) 

• List of all additional expenses, together with the relevant invoices (e.g. telephone costs, insurance, bus ticket, etc.) 

• Account statements (including PayPal, savings accounts or savings contracts) for the past three months of all members of the household 

If applicable: 

• Evidence of debt obligations (e.g. payment in instalments and/or credit agreements) 

• Rejection of the payment of the rent arrears in instalments on the part of the landlord/a bank  

• Residence permit 

• Other supporting evidence as applicable  

There must be a serious reason for termination without notice (e.g. non-payment of rent). It can end the tenancy more quickly and is not bound by the agreed notice period. As a rule, you then have up to 2 weeks to vacate the apartment. If this does not happen, your landlord or landlady can file an eviction action against you. However, in many cases, a termination without notice can become ineffective if you pay rent arrears. The following conditions apply:

• You can settle all your rent debts within the grace period of 2 months after service of the eviction notice.
• You have not already received a termination without notice in the last 2 years which became ineffective due to the settlement of rent arrears.
• Your landlord or landlady has not given you notice of termination (with notice period) at the same time.

Contact the social welfare office or the job center as soon as possible to apply for a transfer of rent arrears.