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Letting agent keeps trying to charge me renewal fee!

Hi guys,
I've come to the end of my twelve month contract on my rental property; I want to stay in it, but want to go onto a rolling contract, as I need the flexibility to move for work at fairly short notice.

They called me a couple of months ago and asked me to pay them £60 fee for renewing the fixed term contract; I stated that I didn't want another fixed term and would go onto a periodic contract.

Now they have sent me an invoice today for £60 for "extension of contractual periodic tenancy" along with a document for me to sign stating that I agree to give two months notice if I leave (rather than the usual one month with a periodic tenancy.)

Where do I stand legally with this? I don't want to pay for something that should just happen automatically (i.e. going onto a periodic rolling tenancy once the fixed term has elapsed.) Also I don't want to agree to give two months notice, as this would limit my options to move quickly if needed.
poppy10
«13456

Comments

  • poppysarah
    poppysarah Posts: 11,522 Forumite
    Send it back.


    You can check with shelter if you want, but imo they can't make you sign away the rights you have by going onto a rolling tenancy.
  • SquatNow
    SquatNow Posts: 2,285 Forumite
    poppy10 wrote: »
    Where do I stand legally with this? I don't want to pay for something that should just happen automatically (i.e. going onto a periodic rolling tenancy once the fixed term has elapsed.) Also I don't want to agree to give two months notice, as this would limit my options to move quickly if needed.

    Next to the shredder. The document has no legal basis and is nothing more than a fishing expedition.

    In a worst case scenario, they could give you a Section 21 notice and 2 months to leave, but not without the landlords consent and the landlord would have to be complete f***king retard to allow them to do it as it would benefit him in no way whatsoever and leave him at risk of a void.
    Bankruptcy isn't the worst that can happen to you. The worst that can happen is your forced to live the rest of your life in abject poverty trying to repay the debts.
  • paintpot
    paintpot Posts: 764 Forumite
    Agree with the others. They can write it into the contract that you are charged for a renewal but they can't force you to agree to a renewal if that is not what you want. Therefore they have been more than premature sending the invoice as a) you haven't signed the renewal tenancy and b) you don't want to. The agent just wants the fee.

    I'd send the invoice back with a letter stating that you are happy to stay on a periodic tenancy and you trust this will be acceptable to the landlord and therefore the invoice is not payable. If you know the landlord, or feel you would like to make them aware of the situation, then copy the letter to the landlord. If you don't know the landlord's address then you can request if from the agent in writing and legally they have to supply it to you. I doubt the landlord is aware of the pressure the agent applying.

    As squatnow says, if you're a good tenant, the landlord would be very very silly to serve notice on you to leave just because you don't want to sign up to 12 months.
  • poppy10_2
    poppy10_2 Posts: 6,597 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    paintpot wrote: »
    I'd send the invoice back with a letter stating that you are happy to stay on a periodic tenancy and therefore the invoice is not payable.

    But they say the charge is for going onto a periodic tenancy.

    Also, I can't contact the LL directly, as the address on my contract is for a social club, rather than his home address.
    poppy10
  • paintpot
    paintpot Posts: 764 Forumite
    I do apologise, I missed that in your original OP. What does your contract state about this? If it's in the contract then you would have to pay it but I think it is scandalous to charge for this but that is my personal opinion. It's what's in your contract with the agent that's relevant here.
  • tbs624
    tbs624 Posts: 10,816 Forumite
    Poppy - has your original Fixed Term already come to its expiry date?

    Have you at any time been served with a S21 Notice? ( and has the LA registered your deposit?)
  • guppy
    guppy Posts: 1,084 Forumite
    Part of the Furniture Combo Breaker
    poppy10 wrote: »
    Where do I stand legally with this? I don't want to pay for something that should just happen automatically (i.e. going onto a periodic rolling tenancy once the fixed term has elapsed.) Also I don't want to agree to give two months notice, as this would limit my options to move quickly if needed.

    As SquatNow says, they are just fishing for free cash, relying on people's ignorance. They will no doubt charge the landlord too once they get you signed up for another six months.

    Just ignore them. Assuming you haven't already been given a S.21 you will move on to periodic.

    If you are on a periodic tenancy, the Housing Act 1988 applies, regardless of what they make you sign. That states the LL has to give you two months notice, you only have to give a month. The LA can't override the intention of Parliament here.

    They can only act on the landlord's wishes, and the landlord is highly unlikely to kick you out just because you won't give his agent £60.

    P.S. I strongly advise you ignoring the LA. Just keep quiet and call their bluff. They have no sanction they can use to collect this fee.
  • poppy10_2
    poppy10_2 Posts: 6,597 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    tbs624 wrote: »
    Has your original Fixed Term already come to its expiry date?

    Have you at any time been served with a S21 Notice?
    ( and has the LA registered your deposit?)
    Yes, No and Yes.
    paintpot wrote: »
    What does your contract state about this? If it's in the contract then you would have to pay it
    Contract does not mention renewal fees in any way, although in the welcome letter accompanying the contract it stated that there would be a renewal charge if I wanted to extend the tenancy agreement after the fixed term.

    This is the term in the contract:
    "If the Landlord or tenant does not serve notice on the landlord or tenant prior to the expiry of the Term, the tenancy will become a periodic tenancy and all the terms and conditions in this agreement shall apply to the periodic tenancy. If the Landlord or tenant serves notice, it must be served in writing on a Rent Day, giving one months notice by tenant or two months notice by Landlord."

    "It is requested that tenants notify the landlord or letting agent of either their intention to vacate the property, or their intention to remain in the property subject to the consent of the landlord, giving a minimum of one months notice prior to the expiry of the fixed term, and if at all possible giving two months notice." [I haven't done this]
    poppy10
  • poppy10_2
    poppy10_2 Posts: 6,597 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    A complicating factor is that my original LA was taken over by a rival estate agent around 6 months ago, so they may have different contracts and procedures to my original LA.
    poppy10
  • SquatNow
    SquatNow Posts: 2,285 Forumite
    poppy10 wrote: »
    A complicating factor is that my original LA was taken over by a rival estate agent around 6 months ago, so they may have different contracts and procedures to my original LA.

    That doesn't make a difference. the EA can go jump off a cliff if they want, what matters is what it says in the law and what it says in your contract.

    Also worth noting that if you don't have a genuine contact address for your landlord, NO RENT IS DUE!!!
    Bankruptcy isn't the worst that can happen to you. The worst that can happen is your forced to live the rest of your life in abject poverty trying to repay the debts.
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