Does it cost a landlord anything to protect deposits

Ladybird20

I have always let my properties through letting agents so protecting deposits has been done for me.However i have been approached by someone that they would like to rent out my property.I dont want to pass on this prospective tennant as the LA will take 1 months rent off me for doing very litle really.I wandered if protecting deposits under the scheme doi pay them any monies for doing so at my expense?BTW i am not after not protecting said deposits i know what can happen if you dont..

sooz

There are two schemes you can use
http://www.mydeposits.co.uk/
http://www.depositprotection.com/

You pay for the first scheme, but you keep hold of the deposit for the duration of the tenancy
The second scheme is free, but they hold the monies for you & the tenant for the duration of the tenancy

Corona007

Actually there are 3 schemes. The other one is

http://www.thedisputeservice.co.uk/

It is also an insurance based scheme like mydeposits and there is a cost to Landlords for using it. Unless you are acting as a LL through an agency and are part of the National Landlords Association then the DPS is the usual choice.

Ladybird20

i have registered with the DPS..but what will they charge me for using them ,,thanks for your replies..

Corona007

The DPS do not charge you for using their service. They will hold the deposit on your behalf for free (presumably they earn their money off the interest whilst holding it).

Once the deposit is registered, provide a copy of the details to your new tenant as quickly as possible. At the end of the tenancy you'll need to contact the DPS to arrange for return of the deposit either in full or in part to the tenant based on any damage they have done. The DPS won't take a cut for themselves and will return everything as per your request.

tbs624

Ladybird20 wrote: »

I have always let my properties through letting agents so protecting deposits has been done for me.However i have been approached by someone that they would like to rent out my property.I dont want to pass on this prospective tennant as the LA will take 1 months rent off me for doing very litle really.I wandered if protecting deposits under the scheme doi pay them any monies for doing so at my expense?BTW i am not after not protecting said deposits i know what can happen if you dont..

Join a national LL association or Tessa Sheppersons LL Law website - tax deductible fee , much useful advice on all things LL plus discounts on your LL insurances

.If you're wanting to rent direct you need to be reading up on your obligations and on the rights of tenants - google DPS, TDS and Mydeposits and see what each has to offer. If you do use an LA, you should be aware of this sort of info. to protect your own interests.