Hirer Security Deposit

When a security deposit is required on the hire of equipment, this is defined by the equipment Owner and is designed to help protect equipment owners and provide peace of mind when hiring valuable items. It acts as a safeguard against potential issues such as damage, loss, theft, excessive cleaning, or late returns during the hire period.

Last updated 08/06/2026

1. How it Works

A security deposit is a temporary reservation of funds on a credit or debit cards. The hold is placed the moment the Hire booking is accepted and stays there until the Hired equipment is returned. While the hold is active, the bank sets aside the transaction amount so that it can't be spent elsewhere.

An authorisation hold might show up on a banking app or bank statement as a pending charge, with the final charge appearing later. This can be confusing and create the impression of two transactions when there was really only one

Once the hired equipment has been returned and inspected together by the Owner and Hirer, the security deposit will be released from the temporary hold, provided the item has been returned on time, in the same condition it was supplied, and in accordance with the hire agreement.

2. Security deposit return

Most security deposit refunds are processed promptly after the hire is completed, although the time taken for funds to appear in the hirer's account may vary depending on the payment provider and financial institution

3. Dispute Resolution

In the unlikely event there are any issues such as damage, loss, theft, excessive cleaning requirements, missing parts, or late return fees, all or part of the security deposit may be retained to cover the associated costs. Any deductions will be communicated to the hirer and supported by relevant evidence from the initial and the returned images as per our Disputes Policy and be adjudicated by Local Hire Marketplace team