Tenants

Tenancy Deposit Schemes Explained

Tenancy Deposit Schemes

Deposit protection schemes for private tenants
Tenancy deposit protection schemes ensure that money paid by tenants (as deposits) is kept safe. Find out what types of tenancy agreements are covered by these schemes and what landlords and tenants need to do to use them.

Tenancy deposit protection schemes guarantee that tenants will get their deposits back at the end of the tenancy, if they meet the terms of the tenancy agreement and do not damage the property. Landlords must protect their tenants’ deposits using a scheme if they have let the property on an assured shorthold tenancy (AST) which started after 6 April 2007.

If these conditions don’t apply – for example, because you live in the property with your tenant, you do not have to protect your tenants’ deposits. However, it is still good practice to do so.

Landlords or agents must use one of the three approved Tenancy Deposit Schemes to protect tenants’ deposits where these conditions apply. If any other scheme is used, deposits are not protected in law. The three approved schemes are:

•Deposit Protection Service (DPS)
•MyDeposits
•Tenancy Deposit Scheme (TDS)
If you don’t protect your tenants’ deposits when required to, your tenants can take you to court and you may have to repay them their deposit plus three times the amount of their deposit. You will also be unable to seek possession of your property in certain circumstances.

The schemes encourage landlords and tenants to draw up clear tenancy agreements and provide a free service to resolve disputes where they occur.

More information can be found at the Government website.

Custodial Protection Scheme

http://www.depositprotection.com/

enquiries@depositprotection.com
0844 4727 000
The Deposit Protection Service The Pavilions Bridgwater Road Bristol BS99 6AA

Insurance Based Protection Schemes

http://www.mydeposits.co.uk/

customerservices@mydeposits.co.uk
0844 980 0290
mydeposits Ground Floor, Kingmaker House Station Road New Barnet Hertfordshire EN5 1NZ

http://www.thedisputeservice.co.uk/

deposits@tds.gb.com
0845 226 7837
The Dispute Service Ltd PO Box 1255 Hemel Hempstead Herts HP1 9GN