Is it normal practice for a letting agent to ask for copies of 3 months bank statemen

Captain_Mainwaring_2

EagerLearner wrote: »

I have never provided 3 months statements for anything apart from a mortgage... I guess in today's credit crunch they are being much more cautious, which as a whole is a good thing (although annoying for you right now). Can you black out the account number and maybe your address so only your name is showing? You never know who may be seeing all that info.

So why did you send them for your mortgage?

Seems to me that the risk is pretty much the same, actually it is easier for you mortgage company to get you out, than it is for you to get you tenant out.

I don't see any problem with blocking out the account number, but not your address for obvious reasons.

kunekune

OP, I suspect Sparky is wrong. In England at least, a 6 month AST means you have to pay the rent for 6 months. The notice provisions only come into force when it ends and if it isn't renewed.

EagerLearner

Captain_Mainwaring wrote: »

So why did you send them for your mortgage?

Seems to me that the risk is pretty much the same, actually it is easier for you mortgage company to get you out, than it is for you to get you tenant out.

I don't see any problem with blocking out the account number, but not your address for obvious reasons.

Back then our financial advisor saw them and copied them for Nationwide for our mortgage application.

As a buyer / tenant, I think that buying a house worth thousands and thousands of pounds is something I allow the bank to do more credit checks on and see my income/statement details, compared to 6 months in a flat whereby the agency would normally carry out reference checks (for a massive admin charge) and then also retain a deposit which should be sufficient.

This has always been enough for us and we have now rented 6 properties with various agencies - not one asking for copies of statements. Mind you this may depend where you are in the country or the type of agency. If one asked for 3-6 months actual statements now, I'd question whether that was industry-wide practice and check with ARLA. If my hand was forced then yes, but I would cross out the account and sort number.

sooz

EL - why would you cross out the account & sort numbers? These are printed on every cheque you write, so are hardly private information. Moreover, you'll probably find on the LA's credit check forms you'd have to provide these.

I haven't rented for ages, but when I do have to show bank statements for various reasons, the bits I want to blank out are where I've been shopping I have no problems with anyone who needs to seeing what goes in & out, but what business is it of theirs where it goes to?

tbs624

jenniferfluff29 wrote: »

....Have I got this right? For the first 6mths I can leave at any point if I give 1 months notice?

No,as Kunekune says, you are bound for the full 6 months, unless a new tenant can be found to take over the remaining period of your contract. The new tenant would have to be acceptable to the LA/LL and they can pass the related costs of advertising etc on to you.

jenniferfluff29 wrote: »

The way that the LA described it, I would be liable for the rent for 6 mths irrespective of whether I had moved out and if I wanted to stay beyond 6 months then I would have 7 days to sign up to another 6 mths lease which I could leave by giving 1 months notice.

The LA acts for the LL - always seek your own clarification before signing any contract. Check the small print because it may say that you agree to pay an "admin/renewal fee" if you sign up to another lease. This is money for old rope for the LA, as there is very little work involved.

At the end of a Fixed Term the contract can just "roll over" onto a Periodic Tenancy and neither LL nor T have to do anything for this, other than observe the terms of the original contract. Under a Periodic you give one month's notice and the LL/LA must give two.

Up at the top of this board is a "sticky" on renting - have a trawl through there and/or go onto to Shelter's website and read up on different tenancy types.

tbs624

jenniferfluff29 wrote: »

Thanks for that info.

1st time I have rented and was a bit scared that they may use them for some dodgy purpose. Also, wasn't too keen on them knowing my business to this extent.

There is currently no regulation of Letting Agents - anyone can set up as one, and I mean anyone.

jenniferfluff29 wrote: »

. At least we know that it is common practice.

That doesn't make it right - vicious circle territory. Start off with a particular method, few challenge it, step it up....... many Letting Agents would probably also like your fingerprints too;) Tenants should vote with their feet and go elsewhere if they feel that what is asked for is too intrusive.You could contact a local LL association and rent direct from a self-managing LL.

The value of bank statements for LA purposes is over-rated. All they need is credit check and a confirmation of your salary from your employer plus some form of ID for you personally and for your current address.

loulou41 wrote: »

Daughter was asked to provide 6 months bank statements.

Outrageous.

tbs624

Sparky29 wrote: »

Used to help prove identity and current address.

Utility bills, passport, driving licence?

Sparky29 wrote: »

Also proves that you are receiving a regular income that is sufficient to cover the rent.

Employer confirmation?

Sparky29 wrote: »

No point in renting out a property to somebody who can't afford it and will be defaulting on payments in the near future.

:rotfl:If you think having a look at a few months' bank statements guarantees you against anyone defaulting on future payments, someone has misled you.

WhySoHard_2

This is way past intrusive. Ask them to do a credit check instead.

EagerLearner

sooz wrote: »

EL - why would you cross out the account & sort numbers? These are printed on every cheque you write, so are hardly private information. Moreover, you'll probably find on the LA's credit check forms you'd have to provide these.

I haven't rented for ages, but when I do have to show bank statements for various reasons, the bits I want to blank out are where I've been shopping I have no problems with anyone who needs to seeing what goes in & out, but what business is it of theirs where it goes to?

For some reason I don't trust EA's and landlords I guess :rolleyes: ... and I don't ever write cheques, so no-one sees my bank info unless I am clear that they really, really need to. Of course when I set up bank payments they are visible to that person, not however, printed on paper for a bunch of people in an office to see / forget on a train / shred improperly... OTT maybe, but I guess I am just plain mistrustful these days If an EA asked for that info now, as tbs624 says, I would vote with my feet...

SuperMum2008

Im a landlord who wishes now that she had asked for more information. Ive been mucked around for months by a tenant and now they are refusing to leave despite being in arrears and trashing the flat (legal proceedings now issued). This person was a respectable suit wearing professional, who was subsequently sacked and had I seen bank statements I would have seen it coming as they owed money left right and centre and couldnt pay. Living beyond means seems increasingly common in young professionals who want the glitzy apartment lifestyle. Please spare a thought for landlords who are simply trying to cover the mortgage and are now months in arrears because of this. Although I see both sides of the coin, at the end of the day, I in effect gave my quarter of a million pound property to someone else to trash and squat.