Landlord wants cheques for TDS but doesn't actually go through the official service

simmed

Landlord wants a cheque, made out to the TDS. But she says she never uses the service because of all the hassle/forms, so will just hold on to the cheques.

I don't see a problem with this personally, but is there something in this I should beware of?

G_M

If the LL is taking a deposit, it should be given to, or cheque made out to, the LL or their agent. The LL receives it and is responsible legally to you for it.

Assuming you are in Eng/Wales, the deposit should be registered by the LL in one of the 3 schemes - there are penalties if the LL fails to do so.

On the plus side, if the LL does NOT register it, he can never evict you as any application for possession is invalid if the deposit is not registered.

If the cheque is not cashed, arguably a deposit has not been taken, in which case of course
a) there is no need to register it and
b) eviction would be valid

But if you and the LL go down this route I'd be inclined to cancel the cheque - the LL cannot have it both ways: deposit 'held' but not registerd as not cahed.

Deposits (Rules on deposit protection)

Localism Act 2011 (section 184 - updates to deposit scheme rules) Plain English explanation!

ToasterScheme

Surely landlord is being stupid here.

a) What's to stop you stopping the cheque next week?
b) The cheque will be out of date by the time landlord may need to use it for your deposit.
c) Even if landlord tries to retain (some of) deposit, they can't - because at the end of the tenancy all they have is a cheque that is made out to someone else. DPS won't look kindly on being treated as a cheque cashing service.

Ulfar

Landlord is trying to circumvent TDS law, won't work.

By giving a cheque you have paid a deposit, they must register it and provide the required notice within 30 days. Failure to do so will be a breach.

I can see a judge taking a very dim view of a landlord trying to claim they hadn't taken a deposit as they hadn't cashed the cheque.

paddy's_mum

So what other bits of law that are designed to protect you might the landlord deem to be 'hassle' and a waste of time?

The slight leak of gas from the cowboy installed boiler, exposed live wires, fractured sewer pipes, holes in the roof...and that's without even mentioning your complicity in breaking the law...HMRC, no permission to let, the bankruptcy courts, and ex-husband lurking somewhere about.

Do it by the book every time. It's too much like hard work to have to remember what lies have been told and who you're not supposed to reveal secrets to.

theartfullodger

Nope: giving a cheque made out to TDS means you haven't paid landlord a deposit.

Treat him with great suspicion: be he ain't declared his taxable rental income

simmed

Thanks for all the replies

So to summarise.. what should I do?

Not send him the cheque? Send him it? Ask him to go through the official TDS process?

Surely with him not going through the TDS is to OUR (tenant's) advantage?

It_can_get_better

simmed wrote: »

Thanks for all the replies

So to summarise.. what should I do?

Not send him the cheque? Send him it? Ask him to go through the official TDS process?

Surely with him not going through the TDS is to OUR (tenant's) advantage?

Until the cheque is cashed i think the argument would be that you haven't paid the deposit. It sounds a bit suspect to me and if i were you i'd just cancel the cheque. The landlord would only find out if they tried to cash it.

It's only to your advantage in the fact that you haven't paid a deposit, so money could not be witheld from you at the end of the tenancy.

bob2

The landlord's initials wouldn't happen to be T.D.S. would they?

Ulfar

I wouldn't send the cheque, if she complains advise that if you pay a deposit you require her to follow the law.

Expect her to evict you, given how dodgy she sounds this will also not follow the law.

simmed

I sent the cheque, made out to the Tenant Deposit Scheme. I don't see what can go wrong with this. If he does cash it, we go down the normal TDS route. If he doesn't, then I have paid no deposit, and so he can't automatically take money from it if damages occur (although I'd still try to fix them myself).