More BC renters can ask for cash from the province thanks to $11M investment

As more people in BC face challenges in paying essential bills like their rent amid rising costs, the provincial government said it will invest $11 million in the BC Rent Bank.

Spencer Chandra Herbert, MLA for Vancouver-West End and premier’s liaison for renters, made the announcement Wednesday. He said this investment will allow the province to serve another 20,000 people across BC “to help them make sure [British Columbians] don’t end up homeless, to make sure the rent gets paid.”

“This is a proactive approach. We don’t want to wait too long till somebody already ends up on the street if we can avoid it. It’s much better to act early when we can, and that’s what the Rent Bank does,” he said.

Eligible British Columbians can apply today online or contact their local Rent Bank directly by phone or email.

Herbert said the province has heard from people worried about getting sick or injured, which could prevent them from earning and paying rent on time.

“What would happen if a payment was late, delayed, and they weren’t able to make the rent?” he said. “People worry about [whether they would] end up homeless. Could they lose their homes?”

That is why he said the province is investing in the Rent Bank, “which has proven to be incredibly successful in fighting homelessness.”

Melissa Giles, managing director of BC Rent Bank, explains the program is an essential service for low to moderate-income earners “who are facing a crisis and start thinking about, ‘How do I pay my rent or essential utilities for this upcoming month?'”

Giles highlighted the increasing need for Rent Banks, explaining that in 2019, it received under 100 applications a month, but now it’s closer to 500.

“We see people … from 19 years of age, all the way up into their 80s, coming to a Rent Bank for assistance. And often that’s people for the first time never having to access these services before,” she said.

The average loan amount currently is around $1,800, according to Giles. Meanwhile, the maximum the Rent Bank grants is $3,500, or the equivalent of two month’s rent.

BC Rent Bank

These loans are interest-free financial aid to be repaid within six to 24 months.

“There are often administrative fees, often $1/month, associated with the issuing of loans to cover banking costs, but this is not meant to be a barrier for people requiring the service,” according to the BC Rent Bank site.

“We work with renters one-on-one if they need to extend the length of that loan,” Giles said. “The goal here is keeping people housed while they can make manageable repayment rates.”

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Apart from providing loans, Giles said case managers at the Rent Bank are there to help support people by referring food banks, providing locational support, and providing other subsidies and grants from the community.

“It’s never our desire to apply for a loan if it’s not needed. We want to make sure that people are getting the right kinds of supports,” she said.

There are 18 rent banks in BC and 14 organizations that help operate these facilities.