Letting agent's 'reference' fee

leitmotif

Hi all,


I was going through some paperwork today and noticed that I paid £150 for a 'reference' fee when entering into a rental contract for my current property. This was for two credit checks (my partner and I). I now wonder whether this could be considered a disproportionately high fee, and whether I have any legal grounds to reclaim part of that fee. They also charged a separate £70 administration fee, so the £150 charge was solely for the credit checks, not for any admin work associated with the tenancy contract. I do know that the company that runs the credit checks for the estate agent is owned by the same company as the estate agent.


EDIT: I've just seen in the small print of the contract that they will charge a check-out fee of £50 + VAT when we finally leave the property.

G_M

Scotland? Report the agent.

England? Sorry - nothing you can do.

theartfullodger

Your profile shows Edinburgh as location so I assume this is Scotland: Unlawful, see
http://scotland.shelter.org.uk/news/archive/2012/may_2012/reclaim_unlawfully_charged_letting_agent_fees

It would not be a "perfectly legal contract" in Scotland

Wagnerian?

leitmotif

eggha wrote: »

crying after the event

Keep it polite, please. I'm simply asking a few questions.

Cakeguts

The credit check place might be run by the same company as the estate agent but that company has to pay the extra staff needed to do your credit check. So if in England where fees are allowed for this and you agreed to pay them then there isn't anything you can do about it.

Miss_Samantha

leitmotif wrote: »

Keep it polite, please. I'm simply asking a few questions.

It was direct, but (s)he has a point.

leitmotif

I accept the point, but as with any point it can be made politely. Furthermore, there is still room for discussion, as often unfair fees or terms can be challenged.

theartfullodger

theartfullodger wrote: »

Your profile shows Edinburgh as location so I assume this is Scotland: ......

I see your location now shows Engerland....

Victor_the_Gink

leitmotif wrote: »

I accept the point, but as with any point it can be made politely. Furthermore, there is still room for discussion, as often unfair fees or terms can be challenged.

Unfortunately, this forum has become a race to the bottom. Who can make the most cutting - yet still 100% factual and verifiable point. Decorum and being a nice human being is lost on most of them.

Miss_Samantha

leitmotif wrote: »

Furthermore, there is still room for discussion, as often unfair fees or terms can be challenged.

If an electrician quotes you £2,000 to change a light bulb and you accept then there is no room for discussion.

This isn't an unfair fee nor an unfair term. This is the price you agreed to pay for a service.

The situation is the same (in England) regarding upfront letting fees.

sheff6107

"If an electrician quotes you £2,000 to change a light bulb and you accept then there is no room for discussion"

I understand your point but by that logic it would be legal for cowboy roofers to get away with charging old ladies their life savings to clear their guttering.

But in this instance a £220 admin and credit check fee is reasonable for the market (for the being).