Landlords and tenancy deposits
At Caven we often get phone calls from both tenants and landlords who have issues with tenancy deposits and disputes arising from them. There are several reasons for these disputes. However, the most common is the deposit, or bond, itself.
Deposits give security to landlords in situations where a tenant fails to pay rent or damages the property in any way. Historically, some landlords have tried to take advantage of tenancy deposits by deducting money for general wear and tear or pre-existing issues.
As such, landlords are now governed by the Tenancy Deposit Scheme which was introduced in 2007. The scheme dictates that every deposit under £25,000 for an Assured Shorthold Tenancy is required to be placed into a protection scheme.
This scheme was set up to bring fairness to tenants who were previously open to having their deposits withheld by unscrupulous landlords and letting agents on unreasonable grounds. The scheme lets tenants claim back deposits more easily and avoids the need of court proceedings.
There are three authorised schemes:
- The Deposit Protection Service
- The Tenancy Deposit Scheme
Landlords or letting agents are required to use one of the above three schemes to protect a tenant’s deposit. If a landlord neglects to protect their tenant’s deposit in any of these schemes they will be liable to pay three times the amount of the deposit to the tenant. So, if you are a landlord it is definitely worthwhile making sure your tenant’s deposit is properly protected.
If you are a tenant currently having a dispute with your landlord over your deposit, or believe your deposit may not be protected in an authorised scheme, it is very important to seek legal advice from an expert landlord and tenant solicitor to ensure you get the assistance you require. As such, call Caven on 0808 129 5759 and have a chat to one of our dedicated case handlers who will be able to point you in the direction of an expert landlord & tenant solicitor.
Adam Fletcher is one of Caven’s most knowledgeable case handlers with extensive experience in this matter from dealing with clients on a day-to-day basis.
- Last Updated on 10/10/2012