Referencing fee - Am I entitled to it back?

Ryanliverpool

Hi all,
I’m a student studying in Liverpool. Back in March my flat mates and I viewed a 3 bedroom flat and subsequently paid a £200 each referencing fee in order to secure the flat. Months went by with not hearing anything - I kept chasing the letting agency and received no response so finally went to their offices and they said it was because they legally can’t reference until 60 days before the tenancy start date.
We finally get an email with details and they are insistent that we fill the online form in so they can reference. However, they refuse to provide us with written proof for the terms that we agreed to. Since then they have insisted that we start the tenancy in July even though we had agreed September at the time of paying the fee. I have chased this multiple times having sent nearly a dozen emails until yesterday on the phone (when I finally got hold of them) they said that these terms were fine. Therefore, I asked for these terms to be sent to me via email confirmation.
Despite me trying to phone them over 60 times and leaving tonnes of voicemails and having sent more emails they still have not provided me with anything. So my question is...
As yet we have not been through the referencing process as we have refused to fill in any details until we have written confirmation of the terms. Therefore, would we be in our right to request a refund of this referencing fee?
I think we should be entitled to it back as they havnt provided the service for which the money was taken ... having researched the letting agency we really don’t want to stick with the flat, they are notorious for poor maintenance and finding any excuse to keep your deposit. However, I’m not sure where we lie with the law

Thanks
Ryan

HampshireH

So you paid a few in March for service you are now refusing to provide details for the agency to complete.

When you paid this fee in March what paperwork did you receive? What does your receipt say?

If you didn't have what you wanted at the time of payment why did you pay it in the 1st place?

If someone agrees a transaction then asks questions but pays regardless of the answer I would assume you were happy in doing so. This could work against you.

Seems odd a referencing fee rather than a holding fee/deposit secured the flat as if you fail referencing they will have to readvertise anyway.

If you have paid no other fees and this is as you say, and that theirs terms and conditions do not allow for it you may get it back. There terms and conditions should be available online for reference.

Your final comment about having researched the agency......well this should have been done before you handed over any money.

Speak to student welfare if you are struggling

G_M

Paid by agreement before the law prohibtted fees (June 1st), so sorry - no you cannot reclaim unless the terms under which you paid it were that it is is refundable. What do the terms say?

pphillips

If you pay an agent a fee for referencing and the agent does not carry out the service that they agreed to provide then the agent is in breach of contract and you are entitled to a refund. However, if they need to postpone the referencing checks I do not think they will be in breach of contract if they carry out the service within a reasonable period of time.

I suggest you make a formal complaint against the agent and then take this forward to the property ombudsman if necessary.

HampshireH

Sounds like They have made reasonable attempts to carry out the checks but the OP has obstructed these which is why thry havent taken place.

OP says he wanted details which they then emailed. OP still declined to provide information for referencing requesting updated information in writing.

Sounds like both at fault but also that we arent getting a full story. Nobody hands over cash without agreeing the point of it. That would just be daft

Ryanliverpool

Hi, no don’t get me wrong we were well aware that the fee was for referencing and were more than happy to pay the fee. During this process of them asking us to provide information they also asked our desired tenancy start date and we gave a date at the start of September. The letting agency replied and said that the start date had to be at the start of July but we had agreed for it to start in September at the time of paying the referencing fee (back in March).
They have since verbally said that it is fine to start in September but have failed to put this in writing despite my request on more than one occasion.

My question illudes to - we have asked them to provide the terms of tenancy in writing. Our thought process for this being that if they do not hold to their original agreement of a start in September are we eligible to get our money back as we havnt been through referencing yet? Whereas if we provide that information and later on down the line they say no it has to start in July and we don’t want to then will we lose the £200 we have already paid?

pphillips

If the agent doesn't hold to the original agreement for the tenancy to start in September then this would be a repudiatory breach of contract (whether they do the referencing or not) and you would be entitled to a refund.

However, you must not delay in electing to terminate the contract by notifying the agent that there has been a repudiatory breach (notification in writing is preferable).

If you decide to accept the revised date proposed by the agent then you would not be entitled to a refund.

HampshireH

I think you are going to lose this property

A lot of student accommodation tenancies start july when the old tenants move out. Why would a landlord want 2 months rent loss.

Other posts on here imply the same.

Sounds like the agency have no issue with you moving in on Sept but aren't prepared to rewrite a tenancy to reflect this as the property was available from July & so regardless of when you move the tenancy will start in July.

I think you will loose your battle on dates. Because there is always someone else waiting and willing to move sooner.

The longer it drags out the more likely you will struggle to find what you want from your nezt accommodation as the good places will be taken

Ryanliverpool

At this point I’m fine with that!

How do I go about getting my £200 back? Are they obliged to give me it back? My view is that they have changed the goal posts and as yet havnt performed the checks so I should be entitled to it back

HampshireH

As none of us know the terms and conditions of which you agreed when you handed £200 over so who knows.

How far are you prepared to go to get it back. Court?

If not request it, get your answer and if its the wrong one walk away. If not go to court

Their defence will be you haven't provided the relevant information for referencing.

The tenanacy is irrelevant to the referencing process. By paying the money you have suggested you were happy with the terms at the time. I imagine they would use this to Their advantage.

What have they actual said to you?

pphillips

Ryanliverpool wrote: »

At this point I’m fine with that!

How do I go about getting my £200 back? Are they obliged to give me it back? My view is that they have changed the goal posts and as yet havnt performed the checks so I should be entitled to it back

Send them a letter or email terminating the contract and requesting a refund because they changed the start date, then make a formal complaint and then ask the Property Ombudsman to consider your complaint.