Deposit + Rental Scheme

Ferdy147

All,

Got a question I'm hoping the people here can help with.

I took out a 6 month rental agreement with a letting agent and paid them the deposit and first months rent. Subsequent rental payments have been made directly to the landlord. The contract was signed with the letting agent.

I've not yet had confirmation that my deposit is in a deposit scheme.

My question is....if the letting agent goes bust then what happens to my deposit? As far as I know the landlord too hasn't had the deposit as he was told it would be going into a deposit scheme.

Thanks,

Ferdy147

jjlandlord

Ferdy147 wrote: »

My question is....if the letting agent goes bust then what happens to my deposit?

You have an agreement only with your landlord, and the deposit is his responsibility. The agent might be holding it, but only on behalf of your landlord.

If the agent goes bust and the deposit is lost, this is your landlord's loss, not yours.

Ferdy147

jjlandlord wrote: »

You have an agreement only with your landlord, and the deposit is his responsibility. The agent might be holding it, but only on behalf of your landlord.

If the agent goes bust and the deposit is lost, this is your landlord's loss, not yours.

Thanks for that....what I was hoping to hear really. Is there anywhere online where this is stated?

BitterAndTwisted

The agent acts solely on behalf of the landlord, so if your deposit goes awol it will be the LL who will be responsible for returning it.

Have you checked the property address on all three deposit-protection schemes' websites? I would WRITE to both the agent and the landlord asking them which scheme your deposit has been registered with.

jjlandlord

Ferdy147 wrote: »

Is there anywhere online where this is stated?

This is stated in the tenancy agreement: You have a contract with your landlord and you paid a deposit to him.

Ferdy147

Thanks...I've checked the 3 sites and can't see no mention of my deposit.

The sites i've checked (from directgov)

• Deposit Protection Service (DPS)
• MyDeposits
• Tenancy Deposit Scheme (TDS)

BitterAndTwisted

WRITE to both the agent and the landlord reminding them that it is a statutory requirement to protect your deposit in one the the three schemes and ask them to confirm which scheme your deposit is registered with. Do it now.

BitterAndTwisted

The only good thing about your deposit not being protected? As long as it hasn't been protected any Section 21 Notice which they issue to end your tenancy will not be valid.

Ferdy147

From directgov....



If your letting agent manages deposits and goes out of business

Landlords are responsible for making sure the deposit is kept safe with one of the schemes even if they use a letting agent to look after the deposit.
The scheme provider will expect you as landlord to pay it back any money it has to pay to the tenant if it is unable to get the money from the managing agent. You should therefore consider what arrangements your agent has made to keep tenants’ money separate and available even if it goes out of business.

Ferdy147

Thanks for all the help guys...

tbs624

ferdy147 - write to the LL and tell him that you have confirmed with each of three schemes that your deposit is not listed with them. Tell him that this means that he, as LL, is in breach of the tenancy deposit regulations.

Insist that he scheme registers your deposit pronto - it can be done online in just a few mins of the Lls time. No excuses - ultimately it's *his* responsibility to see that the job gets done. Keep a copy of your letter and any responses from the LL.