Disadvantages of using maintenance fund

There is no harm in using the maintenance fund.

The maintenance fund shall be paid by the owner on a regular basis for the maintenance and conservation of the property area. These funds are owned by all owners, and their use is decided by the owners. Maintenance fund and property management fee are different in nature, the former is special fund, and the latter is service fee of property company. Property companies have no right to decide the use of maintenance funds, but they can entrust the owners' committee to manage them. When using the maintenance fund, the property company shall submit a written report to the owners' committee and publicize it after use. Such a management and use mechanism ensures the transparent and rational use of maintenance funds.

Provisions on the use of maintenance funds:

1, maintenance fund nature: the maintenance fund is specially used for the maintenance of public facilities and public parts in the community;

2. Financing method: the maintenance fund is generally paid by the owner at the time of purchase, or paid to a special account on a monthly basis;

3. Conditions of use: the use of maintenance funds must comply with relevant laws and regulations, and is usually used for large-scale repair projects or emergency maintenance;

4. Decision-making procedure: the use of the maintenance fund must be approved by the owners' meeting or the owners' committee, and the use plan shall be publicized;

5. Supervision and management: The use of maintenance funds is supervised by the owner and relevant management departments to ensure the transparent and reasonable use of funds.

To sum up, the use of maintenance funds is conducive to the maintenance of the property area, because these funds are paid by the owners regularly and belong to all owners, and their use needs to be decided by the owners. Different from the property management fee, the property company manages these special funds under the entrustment of the owners' committee, and submits written reports to the owners' committee before and after use, which ensures the transparency and rationality of the use of funds.

Legal basis:

People's Republic of China (PRC) Civil Code

Article 282

The income generated by the construction unit, the realty service enterprise or other managers from the owner shall be owned by the owner after deducting the reasonable cost.

Article 283

Matters such as cost sharing and income distribution of buildings and their ancillary facilities, if agreed, shall be followed; If there is no agreement or the agreement is unclear, it shall be determined according to the proportion of the owner's exclusive area.

Article 284

Owners can manage buildings and their ancillary facilities by themselves, or entrust property service enterprises or other managers to manage them. The owner has the right to replace the realty service enterprise or other managers selected by the construction unit according to law.