Holding deposit issue

Kingmarzo81

Hi all,

I moved in to my previous flat in August 2018 after paying fees and going through the usual checks. This included a fee of intent of £250.00. I was under the impression this should have been refunded or taken off the rent or deposit. I have now left and my initial deposit has been returned but when I questioned the original £250.00 holding deposit/fee of intent the estate agents have said this was always non-refundable however from June this year they now return it.

My question is, is this correct or are they trying to get out of returning the £250.00?

Thanks for your help :beer:

sal_III

The law changed abolishing agency fees for agreements made after June 2019, which likely prompted the change.

[Deleted User]

Without paperwork/receipt saying whether the money was refundable or non refundable, there's nothing you can do. Do you have anything from when you handed over the money?

Kingmarzo81

deannatrois wrote: »

Without paperwork/receipt saying whether the money was refundable or non refundable, there's nothing you can do. Do you have anything from when you handed over the money?

I have unsigned paperwork from 2018 which states:

'I/we have paid a "Fee of Intent" and hereby agree to the above conditions and the non refundable referencing charges outlined within. If I/we decide not to proceed with the tenancy or fail to declare relevant information which results in my/our application being declined by the landlord, it is understood that the Fee of Intent will not be refunded.'

So even with the above statement it doesn't actually confirm whether it is ever returned?

parkrunner

Kingmarzo81 wrote: »

I have unsigned paperwork from 2018 which states:

'I/we have paid a "Fee of Intent" and hereby agree to the above conditions and the non refundable referencing charges outlined within. If I/we decide not to proceed with the tenancy or fail to declare relevant information which results in my/our application being declined by the landlord, it is understood that the Fee of Intent will not be refunded.'

So even with the above statement it doesn't actually confirm whether it is ever returned?

To me that implies that the "Fee of Intent" is only non refundable if the tenancy doesn't go ahead.

G_M

Kingmarzo81 wrote: »

...
'I/we have paid a "Fee of Intent" and hereby agree to the above conditions and the non refundable referencing charges outlined within. If I/we decide not to proceed with the tenancy or fail to declare relevant information which results in my/our application being declined by the landlord, it is understood that the Fee of Intent will not be refunded.'

What are the 'above conditions'?


The implication is that since it is non refundable if you "decide not to proceed with the tenancy or fail to declare relevant information" it is refundable in all other circumstances.

Kingmarzo81

G_M wrote: »

What are the 'above conditions'?


The implication is that since it is non refundable if you "decide not to proceed with the tenancy or fail to declare relevant information" it is refundable in all other circumstances.

This is the full wording of the form:

"
Pre-Tenancy Terms & Conditions,

Fee of Intent
The property can be reserved upon payment of a "Fee of intent" in the sum of £.....
A provisional move in date of the ..... has been agreed subject to receipt of satisfactory references.


Application for a Tenancy
Each applicant is required to fully complete a reference application form from which all referees will be contacted. There will be a referencing charge of £75.00 Including VAT per application, the cost of which will be deducted from the fee of Intent. The charges incurred for referencing are non-refundable under any circumstances. Please ensure you have suitable income to afford the rent and pass checks (for tentant 2.5 x monthly rent. For guarantor 3 x monthly).

Council Tax & Utilities
All applicants are required to register and pay the council tax and utility services for the property.

Initial Rental Payment and Deposit
One calendar months' rent will become due for payment prior to the commencement of the tenancy, together with an additional 6 weeks rent to be held as a deposit by his/her appointed agent throughout the term of the tenancy as security for the tenants obligations. The initial payment must be in cleared funds.

Administration charge
A charge of £150.00 including VAT per tenancy will be due for any subsequent renewal agreement.

Declaration
I/we have paid a "Fee of Intent" and hereby agree to the above conditions and the non refundable referencing charges outlined within. If I/we decide not to proceed with the tenancy or fail to declare relevant information which results in my/our application being declined by the landlord, it is understood that the "Fee of Intent" will not be refunded.

Terms Accepted by: Signature of tenant/s .....

Signed on behalf of .....
Signed by Applicant .....
"

Unfortunately I can only find an uncompleted, unsigned copy..

G_M

Kingmarzo81 wrote: »

This is the full wording of the form:

"
Pre-Tenancy Terms & Conditions,

Fee of Intent
The property can be reserved upon payment of a "Fee of intent" in the sum of £.....250
...

Application for a Tenancy
Each applicant is required to fully complete a reference application form from which all referees will be contacted. There will be a referencing charge of £75.00 Including VAT per application, the cost of which will be deducted from the fee of Intent. The charges incurred for referencing are non-refundable under any circumstances. Please ensure you have suitable income to afford the rent and pass checks (for tentant 2.5 x monthly rent. For guarantor 3 x monthly).

....

Initial Rental Payment and Deposit
.....

Administration charge
....

Declaration
I/we have paid a "Fee of Intent" and hereby agree to the above conditions and the non refundable referencing charges outlined within. If I/we decide not to proceed with the tenancy or fail to declare relevant information which results in my/our application being declined by the landlord, it is understood that the "Fee of Intent" will not be refunded.

......

They can deduct the referencing fee of £75 per tenant applicant from the £250 fee of intent.

Kingmarzo81

G_M wrote: »

They can deduct the referencing fee of £75 per tenant applicant from the £250 fee of intent.

Thanks - I realised that when copying the terms here but that still leaves £175.00. That in itself makes it sound even more likely that the rest of the fee of intent should/could have been refunded doesn't it? I don't even know if its worth chasing considering the lack of paperwork..