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Ive not received a security deposit.. Is it too late?

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Hi,

My tenant (who is on housing benefit) has been renting out my flat since december 2012.
At the time of signing the short assured tenancy agreement I did NOT receive a security deposit, although it states in the agreement one was/is required..

I have only recently discovered that its not the housing that are liable for paying it but the tenant.
I have asked the tenant for the deposit but she is refusing.

Where do I stand with this?
She is claiming citizens advice have told her its too late for me to do anything(the tenancy runs out in june but tenant wants to stay on)

Surely I am legally entitled to pursue this as it is in black and white and signed for in the agreement?

Hope someone can advise
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Comments

  • agrinnall
    agrinnall Posts: 23,344 Forumite
    10,000 Posts Combo Breaker
    I don't know the strict legal position but I would say that the time to insist on a deposit is before the tenant moves in. Having been there for 5 months now you have little leverage, at least within this AST. I can't see the court accepting failure to pay a deposit as a reason to evict after this length of time.
    So, you have four choices: 1) Issue a S21 to regain possession at the end of the AST; 2) try to get the tenant to accept a new AST and this time get the deposit first; 3) allow the tenant to move onto a periodic tenancy at the end of the AST and try to persuade her to pay a deposit in order to continue to rent the property; 4) carry on without taking a deposit.

    If you do get a deposit obviously you'll have to register it with a scheme within 30 days and provide the tenaqnt with the required information (assuming you're in England).
  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    edited 24 April 2013 at 8:48PM
    You are a ****!

    YOU are the landlord so it is up to you to protect your property.

    that means

    * vetting your prospective tenants
    * Selecting the one you trust
    * ensuring a proper tenancy agreement is signed
    * ensuring a properinventory is in place, and signed
    * taking the 1st months rent
    * taking (and registering!) the deposit

    Only when all this is done should you hand over the keys to your property.

    Sorry to sound unsympathetic but acting amateurishly and then bleating about it later ...... :naughty:

    edit: oh! And your thread title? "Ive not received a security deposit.."makes it sound like the tenant's fault. Should be ""Ive not taken a security deposit.."

    (the answer to your question is - yes. It is too late)
  • Hi,

    My tenant (who is on housing benefit) has been renting out my flat since december 2012.
    At the time of signing the short assured tenancy agreement I did NOT receive a security deposit, although it states in the agreement one was/is required..

    I have only recently discovered that its not the housing that are liable for paying it but the tenant.
    I have asked the tenant for the deposit but she is refusing.

    Where do I stand with this?
    She is claiming citizens advice have told her its too late for me to do anything(the tenancy runs out in june but tenant wants to stay on)

    Surely I am legally entitled to pursue this as it is in black and white and signed for in the agreement?

    Hope someone can advise

    How did the tenant come to you? Through a property agent or the council? If so, then go back to them. You don't appear to have a leg to stand on though, as you have left it for so long.
  • alberto2012
    alberto2012 Posts: 108 Forumite
    G_M wrote: »
    You are a ****!

    YOU are the landlord so it is up to you to protect your property.

    that means

    * vetting your prospective tenants
    * Selecting the one you trust
    * ensuring a proper tenancy agreement is signed
    * ensuring a properinventory is in place, and signed
    * taking the 1st months rent
    * taking (and registering!) the deposit

    Only when all this is done should you hand over the keys to your property.

    Sorry to sound unsympathetic but acting amateurishly and then bleating about it later ...... :naughty:

    edit: oh! And your thread title? "Ive not received a security deposit.."makes it sound like the tenant's fault. Should be ""Ive not taken a security deposit.."

    I have no defence... Im an idiot i know.

    But I was under the stupid impression I was entering into a well run and monitored format with the council... All i can say is 'you live and learn'

    The council are nothing but morons who wash their hands of any situation
    /issues.
    Although requested, i received NO official guidance/notes as to how it was to be managed.
    I rushed into it, stupidly. I was also in the middle of a housemove which occupied my time.

    Il see what my solicitor can advise tomorrow, the worst case scenario is they trash the place and run off with the last 2 rent payments... :mad:
  • Werdnal
    Werdnal Posts: 3,780 Forumite
    Part of the Furniture Combo Breaker
    edited 24 April 2013 at 9:07PM
    The time to pursue it was before the tenant got the keys. Sounds like you are struggling to close the stable door and the horse is long gone!

    As for entering into a well run and monitored format with the council, not sure what you mean? In certain circumstances, the council will put up a "bond" for qualifying tenants, but again, you should have insisted on this being in place and confirmed in writing before they stepped over the threshold.

    As for trashing the place and not paying the last 2 months rent, what makes you think they will even be leaving any time soon ...?
  • Soot2006
    Soot2006 Posts: 2,184 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    the worst case scenario is they trash the place and run off with the last 2 rent payments...

    In which case you claim for the money in court.
    Do you have an inventory?
  • alberto2012
    alberto2012 Posts: 108 Forumite
    Werdnal wrote: »
    The time to pursue it was before the tenant got the keys. Sounds like you are struggling to close the stable door and the horse is long gone!

    As for entering into a well run and monitored format with the council, not sure what you mean? In certain circumstances, the council will put up a "bond" for qualifying tenants, but again, you should have insisted on this being in place and confirmed in writing before they stepped over the threshold.

    As for trashing the place and not paying the last 2 months rent, what makes you think they will even be leaving any time soon ...?

    A 'notice to quit' and section 33 form?.

    Tenancy is due to expire in june, so thats their 2months notice?..

    I do agree ive been stupid in not getting the deposit in my hand before she moved in. But alot was going on at the time, i naively trusted my lovely local government friends to make the process smooth... Never again..
    But to be honest, apart from teething problems ( took about 6weeksafter tenant was in until i got first payment...) things are ok.
    I.e. Payments are being made/flat still in decent order/no problems until now
    with tenant.
    If i was letting privately, i would never have went without a deposit... Dont know what i was thinking...
  • Werdnal
    Werdnal Posts: 3,780 Forumite
    Part of the Furniture Combo Breaker
    edited 24 April 2013 at 10:28PM
    A 'notice to quit' and section 33 form?.

    I'm guessing you are in Scotland then. Not sure about the rules and regs of notice up there. Is NTQ/S33 guaranteed to gend the tenancy, or is it like down here, you have to go to court if they don't up and leave on the last day?
  • sandsni
    sandsni Posts: 683 Forumite
    All you can really do is hope the T hasn't given you any reason to need the deposit.
  • Fire_Fox
    Fire_Fox Posts: 26,026 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    No official guidance as to how what was to be managed? Why do you keep blaming the council? Did they agree something in writing that never transpired? Are they named on the tenancy agreement?

    Yes housing benefit is paid in arrears, it's the tenant's responsibility to pay the rent in the mean time, as per the contract. Did you send them a reminder/ statement of rent arrears? You do understand HB is not guaranteed, it can be withdrawn at any time?

    Can I suggest you joint a landlord's association and go on some courses? This is a business, you are supposed to be a professional, there is REAMS of legislation to comply with!

    Tenancy does not expire in June, the fixed term does. The tenant can legally stay until you get a court order to get them out if they so choose. How are you not letting privately? How do you know the flat is still in good order, are you rocking up there and breaching the tenant's right to quiet enjoyment?
    Declutterbug-in-progress.⭐️⭐️⭐️ ⭐️⭐️
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