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  • FIRST POST
    • anon_private
    • By anon_private 15th Jun 17, 7:35 PM
    • 118Posts
    • 6Thanks
    anon_private
    Deposit Used as Rent
    • #1
    • 15th Jun 17, 7:35 PM
    Deposit Used as Rent 15th Jun 17 at 7:35 PM
    How common is the following system

    I am renting a room in someone's house. There are three lodgers.

    The system is that we, on arrival, pay one months rent in advance and a further deposit (on month's rent). The following month, I will pay the rent, and so on.

    When I give notice, I will get the final month free. The original advert stated 2 months minimum rental period

    There is no paperwork, rental agreement, etc. but I asked for a receipt for the cash payment, and received one.

    No problems so far, but it seems an unusual system.

    Thanks
    Last edited by anon_private; 15-06-2017 at 7:37 PM.
Page 1
    • hammy1988
    • By hammy1988 15th Jun 17, 10:20 PM
    • 65 Posts
    • 43 Thanks
    hammy1988
    • #2
    • 15th Jun 17, 10:20 PM
    • #2
    • 15th Jun 17, 10:20 PM
    I'd smell a rat at any system when there is a lack of paperwork.

    Have they protected the deposit in the scheme? If so then that's something at least, if not, run a mile.

    Sounds like you need your rental agreement clarifying and putting in writing, it will save a lot of hassle in the long run...and ultimately is the legal thing to do.

    Protect yourself as a tenant.
    • Pixie5740
    • By Pixie5740 15th Jun 17, 10:26 PM
    • 10,845 Posts
    • 14,986 Thanks
    Pixie5740
    • #3
    • 15th Jun 17, 10:26 PM
    • #3
    • 15th Jun 17, 10:26 PM
    I'd smell a rat at any system when there is a lack of paperwork.

    Have they protected the deposit in the scheme? If so then that's something at least, if not, run a mile.

    Sounds like you need your rental agreement clarifying and putting in writing, it will save a lot of hassle in the long run...and ultimately is the legal thing to do.

    Protect yourself as a tenant.
    Originally posted by hammy1988
    Live-in landlords do not need to protect lodgers' deposits. Furthermore, lodgers are not tenants but excluded occupiers.....big difference.
    Annual income twenty pounds, annual expenditure nineteen pounds nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds nought and six, result misery.
    • Pixie5740
    • By Pixie5740 15th Jun 17, 10:30 PM
    • 10,845 Posts
    • 14,986 Thanks
    Pixie5740
    • #4
    • 15th Jun 17, 10:30 PM
    • #4
    • 15th Jun 17, 10:30 PM
    How common is the following system

    I am renting a room in someone's house. There are three lodgers.

    The system is that we, on arrival, pay one months rent in advance and a further deposit (on month's rent). The following month, I will pay the rent, and so on.

    When I give notice, I will get the final month free. The original advert stated 2 months minimum rental period

    There is no paperwork, rental agreement, etc. but I asked for a receipt for the cash payment, and received one.

    No problems so far, but it seems an unusual system.

    Thanks
    Originally posted by anon_private
    It's not particularly usual. The deposit is there to cover any damage that you do over and above fair wear & tear. Whilst the landlord might refer to it as a deposit it sounds more like rent in advance.
    Annual income twenty pounds, annual expenditure nineteen pounds nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds nought and six, result misery.
    • hammy1988
    • By hammy1988 15th Jun 17, 10:46 PM
    • 65 Posts
    • 43 Thanks
    hammy1988
    • #5
    • 15th Jun 17, 10:46 PM
    • #5
    • 15th Jun 17, 10:46 PM
    Live-in landlords do not need to protect lodgers' deposits. Furthermore, lodgers are not tenants but excluded occupiers.....big difference.
    Originally posted by Pixie5740
    My bad... that'll teach me for skim reading
    • DumbMuscle
    • By DumbMuscle 16th Jun 17, 9:38 AM
    • 196 Posts
    • 290 Thanks
    DumbMuscle
    • #6
    • 16th Jun 17, 9:38 AM
    • #6
    • 16th Jun 17, 9:38 AM
    So... wait. Lets say you were in the property from June to September. Just to be clear I understand this.

    In May (before moving in) you pay 2 months rent (1 month as deposit, + 1 month for June, paid in advance)
    In June, you pay rent for July
    In July, you pay rent for August, and give notice to leave in September
    In August, you pay no rent (as September is free, taken out of the deposit)
    In September, you pay no rent (as you will not be there in October)
    There is no deposit refund (as it has been used to pay rent) - so what does the LL do if there is damage?

    OR

    In May (before moving in) you pay 2 months rent (1 month as deposit, + 1 month paid in advance)
    In June, you pay rent for June
    In July, you pay rent for July, and give notice to leave in September
    In August, you pay rent for August
    In September, you pay no rent (as it is covered by the month in advance), and your deposit is refunded at the end (minus deductions for damage)

    Which does the landlord mean? Both could be seen as "final month free". The former matches how rental payments usually work (i.e. you pay in advance for each rental period), the latter matches how deposits usually work.

    But yes, you have a payment system you don't fully understand, and no paperwork to fall back on when your understanding is different to the landlord's. You need to fix at least one, preferably both, of these problems.
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