Tenancy help...

AimOx

Hello all,
I have a question regarding my tenancy. I signed the electronic agreement and am due to move in on Monday. I have not yet received a copy with the landlord's signature and have not paid any deposit, all I have paid are the referencing fees when I first showed an interest.
I have struggled with ym debts and sought help from Step Change, who are happy to help me. Using my proposed rental figures in the budgeting they have suggested bankruptcy. According to the tenancy agreement, if I went down this path I would be in breach, but without it I cannot afford to rent (If I don't move out and into this new property I can enter a DMP instead as my monthly outgoings would double if I moved).
I have emailed the agent this morning to ask (without too much detail) what happens if a) I don't pay my deposit/first months rent today and b) my circumstances change so much so that they breach the tenancy.
Does anyone have any advice or experience of this? It seems a bit of a rock and a hard place..!

always_sunny

a) I don't pay my deposit/first months rent today
I don't think you'd get the keys. I.e. assuming it's a private rental, no landlord or agency would hand over a property to a tenant before settling deposit and rent.

b) my circumstances change so much so that they breach the tenancy.
A landlord wouldn't know if you become bankrupt after you start your tenancy and assuming you keep paying your rent nothing would happen. If you stop paying your rent the landlord may file for eviction and then the court will need to award it on those grounds.

If you become bankrupt before you start your tenancy I would think it's a different game.

Pixie5740

Are you still living with your ex meaning that you really do need to find somewhere new to live?

I don't think that emailing the agent this morning with those questions was a smart move. Fine, the tenancy agreement has a clause about bankruptcy but how would your landlord know you went bankrupt after the tenancy started? Unless you are in arrears it is unlikely the official receiver would contact your landlord to tell them you were bankrupt.

AimOx

Many thanks, both, for answering.

I am still living with my ex so do need to move, though he doesn't want me to - I didn't mention the bankruptcy to the agent, I just asked what would happen if I couldn't pay today.
Would the Landlord not be informed of a bankruptcy? I thought they were..? If not, I can just pay and go ahead with the rental, and then initiate the bankruptcy afterwards?

Pixie5740

You might not have mentioned the bankruptcy but indicating that you might not be able to pay the rent and deposit the last working day before the tenancy is due to start wasn't the best idea. Get on the phone or down to the letting agency today and get them paid.

If I were in your situation I would just move into the new place and start the bankruptcy afterwards. As long as you pay the rent on time and generally leave the landlord alone except for reporting repairs I think you'll be fine.

AimOx

Thanks, Pixie, I will call them now and make some excuse like waiting for funds to clear or something (that could be believable..!)..

always_sunny

absolutely - if I were in your situation I would also proceed with as nothing was looming and then file for bankruptcy. As long as your payments are up to date, the LL would not know.

Do keep in mind however, that once you do become bankrupt it will stay on your credit file for years therefore next time you will do referencing for a property you may have problems so it is in your best interest to keep the payments current!

WibblyGirly

I'm a student now but when I got my house I worked full time, as far as their aware I still work full time. I knew I would be a student when I got the house but they didn't need to know that. I tell them absolutely nothing as no doubt they'll try use any change of circumstance to get more fees out of me.
I would go ahead as planned then sort your bankruptcy out. So long as you pay the rent on time they'll never know.

AimOx

Thank you! I feel better now!

always_sunny - it's a three year AST, so that should keep a roof over my head for that long at least, and then hopefully it will just move to a periodic tenancy so I won't need to be re-referenced.

WibblyGirly - I know, there are fees for everything it seems!

Cakeguts

Just make sure that whatever you do you pay the rent on time and in full. Paying late or not quite the full amount will lead to problems even if you have a 3 year AST.

Guest101

Just to clarify there are no fees for changes in circumstances in relation to employer or financial standing.