Categories:Real Estate,UK

Landlords must protect their tenants' deposits

Now more than ever before, landlords need to ensure they have fully protected their tenants’ deposits. Failure to do so could lead to a financial penalty of up to three times the original bond and an inability to regain possession of their own property — significant consequences, which can so easily be avoided.

By law, all landlords — even if they use a letting agent — must protect their tenants’ deposits under Tenancy Deposit Scheme (TDS) regulations, and must also ensure they pass on important information about where and how it was protected, known as the ‘Prescribed Information’, within 30 days from the start of the tenancy.

The necessity to do so has been brought to the fore yet again with the recent Superstrike Ltd v Rodrigues [2013] case, where the Court of Appeal held that any deposit paid before 6 April 6 2007 should be registered in a tenancy deposit scheme, even when the tenancy arises after that date…

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