One-minute summary
Brazil's Tenancy Law allows four types of guarantee: caução (a deposit), fiança (suretyship), seguro de fiança locatícia (rental guarantee insurance) and the fiduciary assignment of investment fund quotas. A fiador and a garantidora are two routes to the same type, fiança: with the first, a person responds; with the second, a company does. Each lease can have only one type.
In this article
Which guarantees does the law allow?
Article 37 of Lei 8.245/91 lists what a landlord can require from a tenant.1
- Caução: an asset or an amount is set aside as a guarantee.
- Fiança: someone commits to paying if the tenant doesn't.
- Seguro de fiança locatícia: an insurer covers the tenant's obligations.
- Fiduciary assignment of investment fund quotas: quotas in a fund are assigned as a guarantee.
Can I require two guarantees in the same lease?
No. The law bars more than one type in the same lease, "on pain of nullity".2 Asking for both a fiador and a caução in the same lease, for example, isn't allowed.
What changes between them?
Two questions settle most of the comparison: who responds if the rent isn't paid, and what the tenant has to provide in order to sign.
| Option | Legal basis | Who responds | What the tenant provides |
|---|---|---|---|
| Fiador | Art. 37, II | A person | Naming someone the landlord accepts |
| Garantidora | Art. 37, II | A company, as surety | A fee paid to the company |
| Cash caução | Art. 37, I, and art. 38 | The amount deposited | A deposit of up to 3 months' rent |
| Seguro fiança | Art. 37, III, and art. 41 | An insurer | A premium paid to the insurer |
| Assignment of quotas | Art. 37, IV | The assigned quotas | Fund quotas as a guarantee |
"Garantidora" isn't a word used in the law. It's what the market usually calls a company that provides fiança. To find out which type an offer falls under, read the contract, not the commercial name.
What's the limit on a cash caução?
Three months' rent. The amount must be held in a savings account (caderneta de poupança), and its benefits go to the tenant when the sum is withdrawn.3
What does seguro fiança cover?
The law says the insurance "shall cover all of the tenant's obligations".4 The terms of each policy, such as deadlines and required documents, are set by contract and should be read case by case.
How long does the guarantee last?
Unless the contract says otherwise, any of these guarantees extends until the property is actually returned, even if the lease is extended for an indefinite period.5
What if the lease has no guarantee at all?
Two rules change for the landlord:
- They can require the rent and charges by the sixth business day of the month in course, meaning before that month ends.6
- In an eviction action for non-payment, the law provides for an injunction to vacate within fifteen days in leases with no guarantee, as long as the landlord posts a deposit equal to three months' rent.7
With a guarantee in force, this injunction doesn't apply under item IX.
How do I compare two proposals?
No type is best for every lease. These questions help you compare:
- How much does the tenant pay before signing, and how much per month?
- Who responds if the rent is late: a person, a company or an insurer?
- Once the late payment is reported, how long until the landlord is paid, and is that deadline in the contract?
- What's covered beyond rent, such as charges, the termination penalty and property damage?
- Is the document a fiança or an insurance policy?
Sources
- Lei nº 8.245, of 18 October 1991 (in Portuguese), Planalto, accessed 6 Nov 2026.
Designer and engineer. Leads MUTAV's technical and product side.
For information only. This is not legal advice for your contract.
