Late deposit protection?

Late deposit protection?

0:03 AM, 27th June 2023, About 10 months ago 44

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Hello, I’m a new landlord with one property. Can Property118 readers please advise I have not put the deposit in a protection scheme as I didn’t know about these schemes.

Is it better to return the deposit as I don’t want to get penalised at a later date if something goes wrong? I’m hoping my tenants will stay for a  few more years.

Any advice would be very much appreciated,

Sandra


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Comments

Peter

10:09 AM, 27th June 2023, About 10 months ago

If you do return the deposit, please be sure that you get a paper signed by the tenant to say that you have returned the deposit and that the tenant acknowledges that you hold no deposit.

Certainly, I would take advice about this from the Spla. It well worth your joining. I believe I’m right in saying that if you do not register a deposit properly, you are guaranteed to fail in any court based eviction process.

Sandra

10:22 AM, 27th June 2023, About 10 months ago

Reply to the comment left by Peter at 27/06/2023 - 10:09
What is Spla?

RoseD

10:43 AM, 27th June 2023, About 10 months ago

Put it in a registered deposit scheme NOW. Unless you do you have no eviction rights should you need to go down that route. Also they (the tenant) have rights to compensation of up to 3 times the amount even if you'd paid it back. It's against the law. Google it.

Sandra

10:45 AM, 27th June 2023, About 10 months ago

Reply to the comment left by RoseD at 27/06/2023 - 10:43
I thought if I returned the deposit they couldn’t do this?

Sandra

10:50 AM, 27th June 2023, About 10 months ago

Reply to the comment left by RoseD at 27/06/2023 - 10:43
I found this info and happy to return deposit. If your landlord didn't protect your deposit or they protected it late, your section 21 notice won't be valid - unless they've already given your deposit back to you. The date your deposit had to be protected by depends on when it was paid and when your tenancy started.

RoseD

11:37 AM, 27th June 2023, About 10 months ago

Reply to the comment left by Sandra at 27/06/2023 - 10:50
Not my understanding. If they savvy they have a legitimate claim regardless of circumstances. The deposit scheme was introduced for a reason. Speak to NRLA...they may give you free one off advice even if you not a member.

NewYorkie

12:21 PM, 27th June 2023, About 10 months ago

Reply to the comment left by Sandra at 27/06/2023 - 10:45
This is very worrying. Are you self-managing? If you weren't aware of the deposit protection rules, what else aren't you aware of, and which could cause you problems down the line?

Sandra

12:22 PM, 27th June 2023, About 10 months ago

Reply to the comment left by RoseD at 27/06/2023 - 11:37
NRLA?

Sandra

12:25 PM, 27th June 2023, About 10 months ago

Reply to the comment left by NewYorkie at 27/06/2023 - 12:21
Yes self managing, we have a friends daughter who is planning on staying 5 years plus.

RoseD

12:35 PM, 27th June 2023, About 10 months ago

Sandra
It seems you assume renting a property is easy and straight forward. I suggest you sit down and do a bit of general reading that might just give you an insight into the complex matter of the private rental sector that is getting ever worse. It is not for the faint hearted and ignorance is no defence when things go wrong. You seem to know enough to charge rent and take a deposit!

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