Bond Return to Tenant or New Landlord?

by Readers Question

11:28 AM, 21st November 2018
About 2 years ago

Bond Return to Tenant or New Landlord?

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Bond Return to Tenant or New Landlord?

I sold a property and the tenants Bond is still in my name with the DPS, the new landlord / Agent hasn’t asked for it to be transferred to him, what should I do ?

Return it to the Tenant ? or contact the Landlord / Agent to see if he wants it transferred to them ?

There were no issues with returning the bond on my behalf when I sold it.

Looking forward to your replies with Thanks – Joey.

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Neil Patterson

11:41 AM, 21st November 2018
About 2 years ago

The deposit will have been made to the seller (you), and this will therefore need to be transferred to the buyer, and need to register it with an appropriate deposit scheme as soon as possible.
Please see >>

Annie Landlord

12:49 PM, 21st November 2018
About 2 years ago

The DPS will transfer the deposit to the new landlord, if they have, or open an account with them. Its very easy and saves money being physically transferred. Very odd that the new landlord hasn't requested a transfer. Maybe they intend evicting the tenant?

Robert Mellors

12:50 PM, 21st November 2018
About 2 years ago

As far as I can see, if you received a deposit from the tenant, then the only person you can return it to is the tenant. On what legal basis could you pass a person's money over to a third party (without a court order of course). If you return it to the tenant then it would then be for the new owner/landlord to ask the tenant for a deposit/bond if they required this.


10:21 AM, 22nd November 2018
About 2 years ago


Unfortunately they conflict, but I have also written to the DPS, So I will await their reply.

Annie Landlord

11:55 AM, 22nd November 2018
About 2 years ago

Probably not much conflict. The DPS will obviously only make a direct transfer from one landlord to another once they have asked the tenant to confirm their agreement! I would just ask the DPS to return it to the tenant

John Frith

16:50 PM, 22nd November 2018
About 2 years ago

Shouldn't this be covered by how the property sales contract deals with the tenancy? If the tenancy was specifically transferred with the sale, then I would expect the deposit to be transferred to the new owner? If it's silent, then returned to the tenant?

Graham Bowcock

17:29 PM, 22nd November 2018
About 2 years ago


DPS are pretty good at transferring deposits between agents and landlords (assuming both parties are in their scheme). Hopefully this scenario was covered in the sales contract (as mentioned by someone else above); I'd expect the new landlord to be taking over all assets and liabilities and for you to be absolved of all responsibilities on completion.

The tenancy contract has transferred from you to your buyer (both of you being "The Landlord") so the tenant will need to look at the buyer to sort things out. The buyer should (perhaps through his solicitor) have served a notice with contact details; this is legally required. Once done it gets you out of the matter.

My advice is to agree a transfer with the new landlord and tell the tenant that is what you have done.


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