Fees for moving from an AST to a Periodic tenancy?

offbeatgirl

I am now at the end of a 6 month AST and was sent a letter by the letting agency asking if I wanted to sign for another 6 or 12 month period. As I am currently job hunting in other areas, I was unwilling to commit myself for a further 6 months and asked if the tenancy could roll into a periodic tenancy. I have now received a letter from the letting agency confirming that this is fine but asking for a £50 admin fee. I have rented for a number of years and I have never previously been charged an admin fee just to allow my AST to roll into a periodic tenancy - is this legitimate? I appreciate that £50 is a fairly small sum of money, but I can't see how the letting agents can justify it as they are not drawing up a new contract or anything.

N79

Is this fee outlined in your tenancy agreement? If not tell them to shove it. If it is then still tell them to shove it but you may have a harder fight on your hands.

bobby-boy_2

N79 wrote: »

Is this fee outlined in your tenancy agreement? If not tell them to shove it. If it is then still tell them to shove it but you may have a harder fight on your hands.

Well put N79 you made me smile
Does sound if they are chancing their arm a little.

Gwhiz

AST's automatically become monthly at end so no fee should be involved as no new contract needed. Mine are asking for £180 for re-referencing me. I've told them to shove it.

theartfullodger

Dear offbeat girl...

The agency are charging you for doing nothing. The AST automatically becomes periodic if everyone does nothing. That's the law.

However, LL may decide to give you notice to quit tho... which is what I thing N79 was hinting at...

I suspect the agency will be breaching some code of practice of whatever industry body the below to.. Bleedin' cheek! If they ere my agent I'd be inclined to fire them.

Cheers & Best wishes to all, including those who don't agree with me..

Lodger
(A Landlord)

ncooper1974

I had a similar problem, albeit as a landloard. Agency wanted to charge me commision for letting the tenancy turn periodic.
As others have said, tell em to shove it!
Have a read of my thread and it might give you some ideas in how to approach them.
Let me know how you get on...
http://forums.moneysavingexpert.com/showthread.html?p=19881601#post19881601

offbeatgirl

Thanks all for the helpful comments, clearly the first thing I need to do is to check my contract to see if they have sneaked in a clause specifying fees simply to roll into a periodic. The property is managed by the agency on behalf of the landlady and I wouldn't be surprised if they have also tried to charge her more money too for the privilege of doing nothing.

barrooo

Even if it is in your contract, it may be classed as an unfair charge. Ask them to provide a breakdown, in writing, of how they come to the £50.

theartfullodger

Barroo is right,,,

Out,_Vile_Jelly

Letting agents would charge you £50 for walking past their offices if they could. "Passing Interest Commission" or "Facilities Proximity Fee" or suchlike.

N79

barroo is indeed correct that the charge is probably unfair but this is a harder argument to win than the "where have I agreed to this charge" argument because it is not (quite) black and white.

It might be worth contacting the LL direct if you have the details as it sounds like these (chancer) agents will be billing him as well. If they don't get a fee they may tell him that you are not renewing and need to be evicted or some such rubbish. A short telephone call will ensure that the LL knows you intend to stay.