Being asked to pay a deposit, 5 weeks rent and use Reposit

vikixc

Hey guys,


I received my tenancy agreement for a property I'm looking at renting today, the landlord states I need to pay a deposit and 5 weeks rent.


In the tenancy agreement it says "No deposit taken" and I will be using the services of "Reposit" I did some googling and it turns out Reposit allows me to pay a fee of one weeks rent to them (Reposit) instead of paying a deposit of 5 weeks rent to the landlord.


So why is my landlord asking I do both?


I haven't signed anything or paid anything other than the reservation fee yet and I would like some advice on this


Thanks in advance,

G_M

The only payments in connection with a tenancy that you can be asked tomake are:
•the rent

•a refundable tenancy deposit capped at no more than five weeks’ rent where your total annual rent is less than £50,000, or six weeks’ rent where your total annual rent is £50,000 or above

•a refundable holding deposit (to reserve a property) capped at no more than one week’s rent

•payments to change the tenancy when requested by the tenant, capped at £50, or reasonable costs incurred if higher
•payments associated with early termination of the tenancy, when requested by the tenant

•payments in respect of utilities, communication services, TV licence and council tax; and
•A default fee for late payment of rent and replacement of a lost key/security device giving access to the housing, where required under a tenancy agreement.

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/819635/TFA_Tenant_Guidance_190722.pdf


What exactly are you being asked for?
* deposit amount?
* advance rent? How much? What is he stated monthly rent?
* reposit payment (1 weks rent? How much?)


You may need to pay what is being asked in order to secure the tenancy (though by all means query it), but you can then claim back any illegal amount paid.

flashg67

You need to question that - from what you say, this is not legal - taking a deposit & using reposit. Reposit is ok of you're struggling with a deposit, but unlike a deposit, you won't get it back, as it is used to pay for the insurance policy. I they can't explain, avoid (IMO)

AdrianC

Are you sure it's not an either-or? Either pay five weeks rent as refundable deposit or pay a non-refundable one week to Reposit and give the landlord the equivalent of five weeks deposit?

G_M

I'm not convinced these reposit type fees are now legal. They are not on the limited list of permitted fees. Happy to be corrected......

Robbo66

Providing using reposit is not a condition of the tenancy but optional, 5 week refundable deposit or reposit, then it is legal and doesn’t fall foul of the Tenant Fees Act.


Also bear in mind you can only use a deposit replacement scheme if the landlord has agreed to it, you cant just decide to use one. If the landlord isn't happy for you to use Repsoit then you will have to pay a 5 week deposit.