Deposits - Custodial vs Insured - Processes

  • Filter
  • Time
  • Show
Clear All
new posts

    Deposits - Custodial vs Insured - Processes


    I just had a quick question about the two different types of deposit schemes.

    I am a AST tenant and my tenancy agreement says the following. It is point 5.4 I am particularly interested in.

    5. The Deposit
    5.1 The Deposit will be held by the Landlord/Landlords agent and will be refunded to the Tenant at the end of the Term (however it ends) at the forwarding address provided to the Landlord but less any reasonable deductions properly made by the Landlord to cover any reasonable costs incurred or losses caused to him by any breaches of the obligations in this Agreement by the Tenant. No interest will be payable to the Tenant in respect of the deposit money.

    5.2 The Deposit shall be repayable to the Tenant as soon as practicable, however the Landlord shall not be bound to return the deposit until he has a reasonable opportunity to assess the reasonable cost of any repairs required as a result of any breaches of his obligations by the Tenant or other sums properly due to the Landlord under clause 5.1. However, the Landlord shall not, save in exceptional circumstances, retain the Deposit for more than one month after the end of the tenancy.

    5.3 If at any time during the Term the Landlord is obliged to deduct from the Deposit to satisfy the reasonable costs occasioned by any breaches of the obligations of the Tenant, the Tenant shall make such additional payments as are necessary to restore the full amount of the Deposit.

    5.4 The deposit will be fully insured by either the DPS (Deposit protection scheme) or My deposits. You will receive a copy of the deposit protection certificate within 10 days of moving in.
    I paid the deposit on in the 3rd week of April and moved into the property with a tenancy start date of 1st May 2016. In all my previous tenancies, I have only ever had my deposit in the DPS custodial scheme and once registered etc, the DPS sent me an email with the details of the deposit and tenancy.

    My question is, if the insured scheme is used by either DPS or TDS, does the same process happen, ie they send me an email confirmation of the deposit protection and the LL is responsible for the issuing the PI etc?

    I have check both schemes and my deposit isn't in either or them, even if I make slight changes to the date.

    My one housemate who moved in a couple of weeks before me asked LL about this and he text her to say she can pop into the office and 'sign her certificate and pick up a copy'. This doesn't sound right to me, so trying to find out if insured is a totally different process.

    We are 4 unrelated people living in a flat. LL does not live in or at the same property. We each have our own AST's for our rooms.

    Any help will be greatly appreciated (cannot get through to Shelter)


    Use the link below to check all of the schemes to see if your deposit is protected.


      Thanks, but I have checked all of the schemes numerous times and there is nothing.

      The agency is intimating that they have the 'certificate' and we need to pop in and sign them and get a copy. This is what I don't understand. DPS emails the tenant as soon as a deposit is registered in the custodial scheme. Do the insured schemes work the same way?


        Originally posted by Anne1970 View Post
        Thanks, but I have checked all of the schemes numerous times and there is nothing.
        Then you know that the deposit isn't protected at all. So the agent must be lying to you. Send one of the template letters provided in the link and see what happens.


          The requirements for PI are the same for the custodial and insured schemes, you must be provided with the Prescribed Information within 30 days of the landlord/agent receiving the deposit.
          Not have it made available to you - it has to be given to you.
          When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
          Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).


            Thanks for the responses. I have turned Private Investigator since posting and have the following update.

            Land Registry listed owner is NOT the LL on my tenancy agreement. LL on TA is not the same as the agency we deal with. Rent is paid to LL on TA.

            Checked all three deposits schemes at lunchtime yesterday and still nothing there about my deposit.

            Checked again last night for my housemate, then checked mine, and both appear now in MyDeposits and we each have separate DPC reference numbers.

            Phoned MyDeposits today and was told the following :

            a) Deposit was only protected yesterday afternoon.
            b) LL name listed on scheme not the same as listed on TA but they cannot tell me the name, the address of LL on scheme and TA are the same. Not the agencies name either.
            c) Deposit listed as 'paid/received'' on 1st May (paid deposit on 21st April)
            d) Scheme has no record of my email address but cannot give me the email address that is on the system but it is not any variation of my name, it is completely different.
            e) Told that LL/agency is responsible for providing T with certificate and PI etc. Not T responsibility to run after LL/agency for this.
            f) Told to seek legal advice or contact Shelter as particulars are wrong and I would need to send LL/Agency a letter to correct etc.

            So now to contemplate next steps. Might pop back with more questions but for now, just grateful for your responses so far.




              Contemplate what steps?
              LL does not have to be property owner, only have right to rent property
              Deposit protected within 30 days of receipt, (Di though not properly if LL/LA has not provided nec PI, & registered from 1st day of Tenancy. (di you pay deposit by cheque? Delay could be explained by LA waiting for cheque to clear.)
              My Deposits sounds like LA used the LA Ins Based Scheme and the 'name' may be that of the person who first opened the overall account, or a previous/current T at same property?

              You presumably obtained the Registration No for 'your' account and just need to update you contact details, so letter to LA (copy to My Deposits may suffice), with request for confirmation change has been made.


                If the deposit was protected "yesterday afternoon" it wasn't protected within 30 days of receipt.
                The difference between 21st April and 1st May isn't that critical for a deposit protected in July.

                As far as I can see, this is helpful to the tenant.
                The deposit is protected, giving security and the agent/landlord has no right to serve s21 notice and no platform to argue for deposit deductions.

                Next steps are to enjoy property and continue to rent happily.
                When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
                Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).


                Latest Activity


                • Reply to Is time more important than money?
                  by Lawcruncher
                  I am not suggesting it is the landlord's fault. I am just saying that, in some cases, if a tenant feels secure he is more likely to take care of a place....
                  27-01-2022, 23:02 PM
                • Is time more important than money?
                  by jpucng62
                  Just had tenants move out of a property after 2 years. Always paid on time, perfectly pleasant young family who have now bought their own home BUT:

                  House was grimy - looks like they didn't clean properly in 2 years rather than anything overtly unpleasant
                  Garden was left in a mess...
                  27-01-2022, 17:20 PM
                • Reply to Tenant not paying and letting agent mismanaged
                  by MdeB
                  That is because you have to do things properly for S21 to be valid.

                  Do everything properly and the S21 is valid.
                  Get one thing wrong and it is invalid. There are many things to get right....
                  27-01-2022, 22:54 PM
                • Tenant not paying and letting agent mismanaged
                  by Beeble
                  We rented a flat out with the local branch of a national estate agent. They were charging a very low fee (that should’ve had my alarm bells ringing) and had a tenant immediately available. This was Dec2020/Jan2021 and the tenancy paperwork they sent to me was minimal.

                  Tenant moved in...
                  25-01-2022, 15:37 PM
                • Reply to Deducting Cleaning Costs from Deposit
                  by Lawcruncher
                  The requirement comes from the tenancy terms. There are various reasons why a contract term may be void or unenforceable. They include: illegal; impossible; contrary to public policy; statute forbids them to be imposed; unfair. A requirement to keep a dwelling clean and leave it it clean is none of...
                  27-01-2022, 22:20 PM
                • Deducting Cleaning Costs from Deposit
                  by Piffy
                  I use a Letting Agent. Recently the tenants vacated, prior to the tenants leaving when the letting agent did an inspection they advised the tenants that the property would need cleaning before they vacated. The tenants have now left, the place does need a good clean, the Letting Agents have said that...
                  27-01-2022, 11:30 AM
                • Reply to Inherited a few rentals
                  by AndrewDod
                  Almost everything is telling you to sell them - far away, no experience, higher rate taxpayer, current environment
                  27-01-2022, 22:04 PM
                • Inherited a few rentals
                  by Landlord7289
                  Hoping for some advice on this situation from people who may have been through similar...

                  I am inheriting 4 rental properties from my late father. Are there any tips or ideas people would share about this situation?

                  My situation is I am early 30s in full time employment, live...
                  25-01-2022, 15:02 PM
                • Reply to Deducting Cleaning Costs from Deposit
                  by DoricPixie

                  Why does a tenant need to leave the property in a reasonable state of cleanliness if the property wasn't in a reasonable state of cleanliness at the start of the tenancy? Where does the requirement come from? The deposit protection schemes don't appear to take that approach...
                  27-01-2022, 21:11 PM
                • Reply to Tenant has moved partner in.
                  by Hudson01
                  Totally agree, the classic - still the best. They sound like a nightmare and i would be looking to get rid as soon as i could whilst we still have S21, removing kitchen cupboards !!! In a 2 bed flat...... why the hell would you remove part of a fitted kitchen, what are you going to do with the space....
                  27-01-2022, 20:41 PM