No–a bank statement is not needed to rent a house in Melbourne. When we say it is not needed, we mean it is not a required document by default.
However, in exceptional cases, your landlord or real estate agent has the right to ask for your bank statements. What are these exceptional cases, and what can you do if you do not wish to share your bank account statement?
What Are the Documents to Submit With a Rental Application in Melbourne?
Let’s first explore the basic requirements of acquiring houses for rent in Melbourne so you can distinguish between normal and exceptional scenarios and predict the needs of your case. If you’re applying for a rental property in Melbourne, you will have to provide the following documents along with a completed rental application:
- Proof of identification
- Proof of income
- Rental history
- Reference letters
- Cover letter
Usually, there are two documents you have to submit to prove your identity. One of these is a primary document and must contain a photo ID. It can be your passport, driver’s license, or any other legal document with your photo on it.
The secondary document can be an energy bill, health care card, or bank statement. Most people do not provide a bank statement at this stage unless they have to, and that’s because bank statements give away a lot of your information. Similarly, when it comes to proof of income, you can submit the last three payslips or your current income statement with a bank statement.
As for rental history, you can submit a reference letter from your former landlord or three recent payslips. If you’ve been sharing a room in your family’s or friend’s house, you can submit a reference letter from them. Reference letters from personal and professional connections, as well as cover letters, speak for your reputation and provide evidence of your conduct.
So, as you can see, it’s not legally required to submit a bank statement–you’ll always have an alternative if all your other documents are up to par and if your landlord is secure with what’s been given. Of course, it’s best to keep a copy of your bank statements ready, just in case.
When to Provide a Bank Statement for Rental Purposes
You will need to provide your bank statement to the real estate agent or your landlord only if:
- You fail to provide previous rental history
- You fail to provide proof of income for the last three months
- You’re new to Australia and do not have a stable income yet
The property owner or real estate agent will only need your bank statement to ensure you have enough money to pay the rent for the next three-six months. If you’re about to begin your job, it’s a good idea to communicate this with your agent or house owner. You can provide evidence for your claim by attaching a photocopy of the offer or approval letter with the rental application, instead of a bank statement.
Safety of Your Bank Statements
The Privacy Act 2000 governs all real estate agencies and real-estate operations. As per this act, any documents you submit will be used only for the said use. For example, the bank statements you submit will be used only to assess whether you’re capable of paying the next six months of rent. If you do not earn enough, they may also determine whether you spend less than an average person and can afford to pay the rent with a low income.
Apart from that, they will not use your bank statement for any other purpose, and all your data will remain confidential. If you are not comfortable sharing details of your personal expenditure through bank statements, you can omit these details and share a bank statement with reference numbers and mortgage and/or bill payments only; however, this may negatively impact the approval process, and your agent may ask for other details or take more time to assess and approve your application.
