Landlord quits deposit protection scheme!

mcbob_2

Just got a letter this morning from mydeposits.co.uk saying:

It is a requirement of the housing act 2004 that we write to inform you that you landlord XXXXX , is no longer a member of this scheme.

As a consequence, the deposit held by them on your behalf will cease to be protected by the scheme 90 days from the cancellation date, 24 July 2009

Having contacted my LL, he does not seem to think this is much of an issue. Since my tenancy expires at the beginning of October, it will stil be covered within the 90 days.

However I am concerned - surely this is not normal behaviour for landlords??

Any advice would be much appreciated


Thanks

Bob

theartfullodger

Suspect the Landlord has been a naughty boy & upset them...

He MUST protect your deposit somewhere else soon or be liable for the deposit & 3xdeposit fine - which goes to you...(Housing Act 2004, Section 213(6) ...)

We'd be very interested to find out what he's done - in your shoes I'd write him a nice polite letter, with copy of deposit scheme letter, and ask for clarification of what he will be doing with your deposit.

If Landlord can't be trusted with something this simple I wonder what else he gets wrong...

Cheers!

Lodger

clutton_2

lets not jump to conclusions about bad landlords all over again please

""Since my tenancy expires at the beginning of October, it will stil be covered within the 90 days.""

this deposit is protected

this landlord may simply be choosing to move his deposits to one of the other two deposit protection services - is the the LLs choice as to which scheme he uses

lets wait and get the full picture ?

DVardysShadow

clutton wrote: »

lets not jump to conclusions about bad landlords all over again please

""Since my tenancy expires at the beginning of October, it will stil be covered within the 90 days.""

this deposit is protected

this landlord may simply be choosing to move his deposits to one of the other two deposit protection services - is the the LLs choice as to which scheme he uses

lets wait and get the full picture ?

It is nevertheless an extraordinary letter, which raises issues which need answering. I doubt you would have written this, clutton.

belisha-beacon

I don't know any of the law about deposit protection (except that deposits must be protected), but what I'd be worried about in your situation is exactly what the 90 days covers. So, if you move out in October and then there is a protracted wrangle about the deposit being returned then do you lose your entitlement to claim through the scheme after 90 days? Or, if you lodge a claim within the 90 days will they see it through to the end? As long as there is no doubt at all that you'd be completely covered in the event that something goes wrong with your deposit scheme then I wouldn' have major concerns, but it does seem strange that your landlord hasn't explained their reasons....

N79

I suspect that the LL has failed to pay mydeposits or annoyed them in some other way and hence they are ceasing to do business with the LL.

I would follow Artful's advice - your LL has not broken any rules yet as your deposit is still protected.

mcbob_2

Ive just been told by the landlord that my deposit is still protected its just that the name of the person whom its held by in the scheme has changed.

He said he'll write confirming this.

I will wait a week or so to see if mydeposits send another letter stating this - though I find this all rather strange, as surely mydeposits wouldn't have sent me the letter this morning if this was merely a name change.

Thanks,

Bob

theartfullodger

Ive just been told by the landlord that my deposit is still protected its just that the name of the person whom its held by in the scheme has changed.

Hmmmnn.. maybe OK... but as far as the law is concerned, it is the Landlord who is responsible for the deposit & it is he who you take action against if it ain't properly protected or returned... & the contract for the tenancy is between you & the Landlord....


Mind you on my one & only English rental the deposit is handled by the letting agent, not me, albeit I'd be the one coughing up if the letting agent turned out to have run off to the south pacific with her toy-boy & my deposit.. and the tenant wanted their money at the tenancy end...

Hope it works out...

Cheers!

Lodger

Trollfever

From mydeposits.co.uk:

A3 Cancellation of Membership by us
A3.1 At our discretion we may cancel or not renew your Membership for the following reasons:
A3.1.1 Non-payment of any fees or sums due to us;
A3.1.2 Failure to lodge the Disputed Deposit Amount when required;
A3.1.3 You unprotect or seek to unprotect a Protected Deposit without the knowledge or agreement of the
Tenant;
A3.1.4 You fail to maintain a Client Account;
A3.1.5 You have a Court Judgement registered against you or any petition to wind up is presented or a
liquidator, receiver, administrator, administrative receiver, manager, trustee in bankruptcy or similar
officer is appointed or you cease to carry on business under the name registered as Member;
(NB: At our discretion we will consider evidence of discharge of debts and satisfaction of claims in relation to your

acceptance as a new or renewing Member.We will need submission of clear and explicit evidence.)

A3.1.6 You become or are declared bankrupt, insolvent, convene a meeting of or make or propose to make
any arrangement with your creditors or have your Residential Property repossessed;
A3.1.7 Any statement made or information given on your Application Form is fraudulent or incorrect;
A3.1.8 Any other breach of the Scheme Rules which we deem to be of sufficient seriousness to warrant
Membership cancellation;
A3.2 If we decide to cancel or not renew your Membership the following will apply:
A3.2.1 We will serve a 14 day written notice of intended cancellation stating the cancellation reasons.
A3.2.2 Within the 14 days of the date of the notice in A3.2.1 you may give us reasons (in writing) as to why
Membership should not be cancelled. During this period you will not be able to protect or unprotect
any deposits.
A3.2.3 At the end of 14 days in A3.2.1 we will write to you giving you notice of our decision as to whether
your Membership has been cancelled.
A3.2.4 Notwithstanding the notice in A3.2.3 Deposits will remain protected in accordance with A5.1.
A3.2.5 Written notices will be given by us following the cancellation in A3.2.3 to your Tenant(s) (and
Landlord Client(s) if you are an Agent) informing them that their Deposits will cease to be protected
after a maximum of 90 days from the date of the notice under A3.2.3.
A3.3 You will not be entitled to any refund of Membership Fees or Deposit Protection Fees if we cancel or do not
renew your Membership.
A3.4 Our decision on cancellation or non renewal of Membership under A3.2.3 is final. There is no right of appeal to

our decision (please see Section F – Complaints).

http://www.mydeposits.co.uk/pdf/mydeposits_Scheme_Rules_v3.pdf

mcbob_2

According to this looks like they've breached the rules in some way; either not paid or been declared bankrupt! Reading this makes me even more concerned!

clutton_2

what tenants dont appear to realised about Mydeposits (unlike DPS which is free) - is that landlords have to BUY a subscription/joining fee to mydeposits, then buy a Tenancy insurance policy - which they then have to buy AGAIN every time a new tenancy agreement is signed .... it aint cheap .. and it encourages landlords to keep tenants on periodic tenancies

it is perfectly legitimate to change names for whoever is to be held responsible for the deposit

why doesn't OP go onto mydeposits and look for him/herself and put us all out of our misery ?