Tenancy Deposit Protection
From 6 April 2007, all deposits (for rents up to £25,000 per annum) taken by landlords for Assured Shorthold Tenancies in England and Wales must be protected by a tenancy deposit protection scheme. Tenants should ask their landlord about the details of the scheme when signing a new tenancy agreement.
Tenancy Deposit Protection has been introduced:
To ensure good practice in deposit handling, so that when a tenant pays a deposit, and is entitled to get it back, they can be assured that this will happen.
To assist with the resolution of disputes by having an Alternative Dispute Resolution service (ADR). It will also encourage tenants and landlords to have in place, from the outset, clear agreement on the condition of the property through best practice, such as the use of inventories, and agreement on the condition of the property.
REB Letting has chosen to join The Tenancy Deposit Scheme
The Tenancy Deposit Scheme (TDS) is an insurance-backed deposit protection and dispute resolution scheme run by The Dispute Service that builds on a scheme established in 2003 to provide dispute resolution and complaints handling for the lettings industry. The new scheme enables letting agents and landlords to hold deposits.
On Managed Properties, REB Letting will hold your deposit in a separate bank account which is audited each year and covered by insurance. We will also register the deposit under the TDS scheme and protect it as required by law.
Where we are simply letting the property on behalf of the landlord, the deposit may be passed to the landlord who will have to register the deposit in a scheme of their choice. In some instances, REB Letting will hold the deposit if the landlord asks us to register the deposit.
For further information, see the Dispute Service website.
