April 14, 2025
Peak Season for rental deposit fraud in Denmark’s University cities: How to avoid the trap
April 14, 2025
April 14, 2025
Whether it’s your first time renting or you’ve done it before, the process can be just as confusing and stressful. In Denmark, not all landlords are listed in a centralized, authorized registry, and many do not comply with Danish tenancy law. Like many other renters, you may have experienced skyrocketing prices — and still seen apartments disappear instantly. Maybe you’ve written to dozens of landlords on multiple rental platforms (such as boligportal.dk, Facebook groups, or DBA.dk), only to receive no replies. And if you’ve already been unlucky enough to fall victim to a deposit scam, you’re far from alone.
Thousands of Danish and international students flood into Denmark’s major university cities every year, hoping to find the perfect place to live. They know it’s not enough to search high and low — they also need to put down a substantial deposit before they can get the keys to their new home. It’s a high-pressure situation that leaves many renters vulnerable to scams, with several losing their deposit money in the process.
Jens Skovbjerg Wagner, Police Commissioner at the National Center for IT-related Economic Crime, explained to DR.DK:
“There’s enormous pressure on the housing market, especially around study start when many young people need to find their first apartment. Unfortunately, scammers exploit this by pretending to rent out properties they don’t actually have access to. That way, they trick money out of people searching for a home.”
So let’s take a closer look at what you need to know legally as a tenant — and how to make sure you don’t get scammed.
It can be overwhelming to receive a rental contract with a demand for tens of thousands of kroner upfront. Especially when you consider the price per square meter in 2020, as reported by Boligportalen. For students, rent costs in larger university cities in Denmark can have a serious impact on their personal finances. That’s why it’s crucial to understand what the deposit covers and how to avoid losing your money to fraud.
According to the Danish Rent Act, landlords have the right to require financial security in the form of a deposit. A landlord may demand up to 3 months’ prepaid rent, 3 months’ deposit, plus payment for the first month of rent — in total, the equivalent of 7 months’ rent.
This deposit serves as a safety net for the landlord to cover potential damages after you move out — such as repainting the living room or replacing a scratched countertop. However, it is up to the landlord to document the condition at move-in and any damages to be repaired upon move-out.
Importantly, the deposit may not be used to completely renovate the property — only for what is considered “normal maintenance.” Prepaid rent is not part of the deposit and is instead used to cover the final months of rent should a tenant leave without paying or before the notice period has ended. In this way, tenants “get it back” later, almost like a savings account applied at the end of the lease.
In addition to viewing the apartment in person (if possible), taking the offer with a grain of salt (if it sounds too good to be true, it probably is), and checking the landlord on boligejer.dk or tinglysning.dk, there’s one thing we strongly recommend — and it may be the key to avoiding fraud altogether.
Sidsel Fangel Thygesen and Christopher Christensen shared their story with DR.DK, recounting how they fell victim to a rental scam:
“We wanted to go home and think about it. He said that was fine, but that others were also viewing the apartment, so it might be rented out in the meantime. The lease looked completely legitimate, so we signed it and transferred DKK 23,000 for the deposit and first month’s rent that same day.”
But the keys turned out to be fake — just like the scammer’s online profile.
To avoid ending up in a similar situation, we recommend using a secure third-party financial service designed to protect you.
We do this by holding the funds until both parties have agreed to the terms. PayProff partners with Secure Payments, regulated by the Danish Financial Supervisory Authority (Finanstilsynet), who hold your deposit in a separate escrow account. Our top priority is to make your online transactions safer.
In many cases, it’s nearly impossible to get your money back after transferring a deposit — but with PayProff, your chances are significantly better.
So when you’re about to send your hard-earned money as a rental deposit, just mention PayProff. If you’re dealing with a scammer, chances are they won’t agree to using it. But if the landlord is genuine, and sees the benefit of using PayProff to manage the deposit, you’re well on your way to a safe and trustworthy rental experience.
