Deposit protection with section 21 issue?
3 years ago | 15 comments
Late deposit protection?
12:03 AM, 27th June 2023, 3 years ago
44
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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Member Since April 2018 - Comments: 45
10:09 AM, 27th June 2023, About 3 years 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.
Member Since June 2023 - Comments: 14
10:22 AM, 27th June 2023, About 3 years ago
Reply to the comment left by Peter at 27/06/2023 – 10:09
What is Spla?
Member Since September 2022 - Comments: 198
10:43 AM, 27th June 2023, About 3 years 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.
Member Since June 2023 - Comments: 14
10:45 AM, 27th June 2023, About 3 years 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?
Member Since June 2023 - Comments: 14
10:50 AM, 27th June 2023, About 3 years 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.
Member Since September 2022 - Comments: 198
11:37 AM, 27th June 2023, About 3 years 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.
Member Since October 2013 - Comments: 1630 - Articles: 3
12:21 PM, 27th June 2023, About 3 years 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?
Member Since June 2023 - Comments: 14
12:22 PM, 27th June 2023, About 3 years ago
Reply to the comment left by RoseD at 27/06/2023 – 11:37
NRLA?
Member Since June 2023 - Comments: 14
12:25 PM, 27th June 2023, About 3 years 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.
Member Since September 2022 - Comments: 198
12:35 PM, 27th June 2023, About 3 years 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!