Client Money Protection compulsory as of today

by Property 118

10:53 AM, 1st April 2019
About A year ago

Client Money Protection compulsory as of today

Make Text Bigger
Client Money Protection compulsory as of today

As of 1st April 2019 all PRS letting agents are required to carry Client Money Protection (CMP) which safeguards Landlords and tenants against an agent going into liquidation or absconding with rental payments, deposit or other client funds.

A fine of £30,000 can now be imposed upon any agent not found to be a member of a government approved CMP scheme.

David Cox, Chief Executive, ARLA Propertymark said: “CMP has always been mandatory for Propertymark members, but when it becomes a requirement on 1st April, all letting agents will be operating on a level playing field and consumers will be protected regardless of which agent they choose. This is a triumph for the industry, and will go a long way towards improving the regulatory environment in the lettings sector and increasing protection for consumers who rely on agents to handle their money safely. Having worked closely with MHCLG to get this into law, we’re really pleased that our scheme has secured formal Government Approval.”



Comments

jguy

12:45 PM, 1st April 2019
About A year ago

Does this apply in Wales as well?

Too late for me me anyway. Just4Let ran off with my money and a lot of others Landlords'

Chris @ Possession Friend

13:21 PM, 1st April 2019
About A year ago

CMP Only applies to England ( at the moment ! )

Puzzler

11:19 AM, 7th April 2019
About A year ago

Does anyone know if this applies to self-managed blocks?

Chris @ Possession Friend

11:24 AM, 7th April 2019
About A year ago

Reply to the comment left by jguy at 01/04/2019 - 12:45
Interesting, as I rent properties in Wales, but not the Barry area.
Have you reported to Trading Standards and Action Fraud ?

jguy

2:05 AM, 8th April 2019
About A year ago

Reply to the comment left by Chris Daniel at 01/04/2019 - 13:21
Thanks for letting me know

jguy

2:09 AM, 8th April 2019
About A year ago

Reply to the comment left by Chris Daniel at 07/04/2019 - 11:24
Yes 2.5 years ago. The only advice is to go through the Small Claims Court which I will when I finally get time to follow through

Chris @ Possession Friend

7:13 AM, 8th April 2019
About A year ago

Reporting is only option, as a Ltd company will just close down.

jguy

11:48 AM, 8th April 2019
About A year ago

Reply to the comment left by Chris Daniel at 08/04/2019 - 07:13
Yes but although they had a similarly LTD registered company name He operated under a sole proprietorship and put the money via that route so there is the possibility of going down the small route

Julie Dawson

15:47 PM, 7th November 2019
About 9 months ago

Hi

Can anyone recommend a company other than Money Shield for client money protection, they have quoted £400 for the year, I only look after 45 properties ... thanks


Leave Comments

Please Log-In OR Become a member to reply to comments or subscribe to new comment notifications.

Forgotten your password?

OR

BECOME A MEMBER

Properties selling for 95.8% of initial price expectation

The Landlords Union

Become a Member, it's FREE

Our mission is to facilitate the sharing of best practice amongst UK landlords, tenants and letting agents

Learn More