The update made to the tenancy deposit legislation on 6th April 2012 .You only have 30 days to protect the deposit now. In the past it has been possible to comply after the time period but this has been stopped - If you don't sort it out in the first 30 days you risk hefty fines. If the landlord fails to protect the deposit than the service of any section 21 notice may be deemed invalid and the court may dismiss a claim made under section 21. Once the deposit is protected the landlord must provide the tenant with the relevant information that the deposit has been protected.
There are at present 2 types of tenancy deposit protection schemes available for landlords: insurance-based schemes and custodial schemes. All schemes should offer a free dispute resolution service.
The tenant pays the deposit to the landlord.
The landlord retains the deposit and pays a premium to the insurer - the key difference to the custodial scheme.
Within 30 days of receiving a deposit the landlord or agent must give the tenant the details about how their deposit is protected including:
What to do if there is a dispute about the deposit at the end of the tenancy:
The tenant pays the deposit to the landlord or agent.
The landlord or agent then pays the deposit into the scheme.
At the end of the tenancy:
For more information please call us today on 01179731550