Agent will not release deposit money until I produce certificate?

by Readers Question

17:21 PM, 18th September 2018
About 3 months ago

Agent will not release deposit money until I produce certificate?

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Agent will not release deposit money until I produce certificate?

I have recently let my one of my properties through my normal high street letting agent – who have always given me excellent service and advice previously. This time however, they will not release the new tenants deposit for me to protect in my DPS account.

They have stated that I must put the tenants deposit money into DPS from my own money and get a receipt then forward the receipt to them and then they will pay me the deposit monies from the tenant.

I do not agree with this and will be removing my business from them.

I wonder what other people think?

Many thanks

Maggie



Comments

AA

22:06 PM, 18th September 2018
About 3 months ago

Why are you placing the deposit ? The tenant did not pay you the monies. You should allow the agent to do this but you requesting a copy of the certificate and PI they have issued should give you assurance that it has been done. Unless this arrangement was part of the business agreement.

Rob Crawford

21:56 PM, 19th September 2018
About 3 months ago

Hi Maggie, assuming you both have DPS accounts the agent can transfer the deposit for their DPS account into your DPS account. I can't remember the process but a phone call to DPS will clarify. There is no need for money to be physically handed over.

Dylan Morris

8:56 AM, 20th September 2018
About 3 months ago

My letting agent always arranges for the new tenant to pay the deposit monies directly to my bank account and I then lodge the monies with the DPS myself. Going forward might be better to have this sort of arrangement with your agent rather than this malarkey.

NEIL T

9:43 AM, 20th September 2018
About 3 months ago

Don't trust this agent! They should forward you the advance rental monies - less their commission- together with the deposit within a reasonable period - I insist on 7-days. The deposit is always your responsibility, so upon receipt, you still have ample time to register it. You are now fully in control.
In this particular case, and if time is running out you may have to use your own money and then dump the agent.

Michael Barnes

15:01 PM, 20th September 2018
About 3 months ago

It may be that the agent has protected the deposit.
If this is the case, then the process proposed by the agent is probably correct: once they give you the deposit, it is probably no longer protected and YOU would be at risk of legal action.
By you showing that you have protected the deposit, they can safely relinquish responsibility.

cissie Zheng

19:35 PM, 22nd September 2018
About 3 months ago

From my experience I think they need you to register with DPS and get deposit protection ID certificate. They then can either put money straight into DPS or pay you and you pay the DPS.

Check with them if this is correct.

Good luck!


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