Security Deposit Policy

How Security Deposits Work

At Gearsy, we prioritize trust and safety for both owners and renters. Security deposits are a way to ensure that items are returned in a similar condition as they were rented in.

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1. Verification, Not Charge

When you book an item that requires a security deposit, we do not charge your card immediately. Instead, we perform a secure verification (authorization) with Stripe to ensure the payment method is valid and has sufficient funds. Your card details are stored securely by Stripe; Gearsy never sees or stores your full card number.

2. When is a deposit charged?

You will only be charged if the owner files a valid claim for significant damage, theft, or abuse within 16 hours of the item's return.

3. The Claim Process

• Owner Claim Window: The owner has 16 hours after the item is returned to file a single claim per booking. Only one claim may be filed per booking.
• Notification: If an owner files a claim, you will be notified immediately via email and in-app notification with full details of the claim, including evidence photos and the requested amount.
• Evidence: The owner must provide evidence (photos, description) of the issue and certify the damage occurred during the rental.
• Response Window: You have 48 hours to review the claim and respond. You can accept the charge or dispute it with your own evidence and explanation. Reminder notifications are sent during this period.
• Disputes: If you dispute the claim, the Gearsy support team will review all evidence from both parties and make a final decision. The team may approve the full amount, approve a partial amount, or deny the claim.
• No Response: If you do not respond within 48 hours, Gearsy will make additional automated and manual contact attempts (email, phone/SMS). No charge will be made unless a Gearsy administrator reviews the claim and explicitly approves it.

3a. Payment Execution

When a claim is approved (either by renter acceptance, admin decision, or after the no-response escalation process), the approved amount is charged to your verified payment method via Stripe. Funds are routed directly to the Owner's connected Stripe account. If a charge fails (e.g., due to insufficient funds or an expired card), you will be notified and asked to update your payment method. Gearsy may retry the charge according to Stripe's recommended schedule.

4. Automatic Release

If no claim is filed by the owner within 16 hours of the item's return, the security deposit authorization is automatically released. You don't need to do anything.

5. Improper Claims

Gearsy takes the integrity of our community seriously. If an owner is found to have filed a false, frivolous, or improper claim (e.g., claiming for normal wear and tear), Gearsy reserves the right to:

• Deny the claim immediately.
• Suspend or terminate the owner's account.
• Charge a processing fee to the owner for the administrative cost of reviewing the improper claim.

6. Receiving Payouts & Managing Claims

Owners who receive payouts from security deposit claims will manage their funds through Stripe, our secure payment processor.