Need to protect deposit retrospectively

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Need to protect deposit retrospectively

    I am a landlord and need to protect a deposit after the 30 day period. I have had major life events which made the protection of a deposit seem less impoirtant at the time.

    I want to do this legally and with the best of intentions. How do I go about protecting the deposit?

    I have considered the following options:

    1. return the deposit completely
    2. refund the deposit and ask for a new deposit in order to protect in line with the 30 day requirement
    3. protect the deposit now albeit after the 30 day period.

    I am a member of the NLA and have asked them. They weren't that useful but said there is nothing I can do now.

    Any advice appreciated, especially legal.

    Thanks
    Mark

    #2
    Don't bother:

    Return deposit TODAY! Hope tenant does not sue you for the up-to 3xdeposit (he can do so for 6 years after it should have been protected, so 6 years + 30 days after you received deposit).. Only after returning deposit can a fresh s21 be issued that would be valid, any sent previously will be invalid.

    Sorry you've had problems but that doesn;t change the legal position, confirmed more than once by parliament, that tenant can sue you for up to 3xdeposit. Your circumstances & prompt return of deposit when you realised the problem may persuade judge to reduce penalty, but suspect if sued you'll still have to pay.
    I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...

    Comment


      #3
      Is there any point in returning the deposit now though? Isn't it best to keep mum, and protect it when tenancy goes periodic?

      Comment


        #4
        If you wait to protect at the start of periodic, then you are increasing the chance of getting higher end penalty for the fixed term breach because the deposit was never protected.

        Protecting it won't fix the prohibition on s21, but if you think the tenancy will go periodic, protecting late and correct service of PI will allow deemed service during the periodic tenancy.
        I am not a lawyer, nor am I licensed to provide any regulated advice. None of my posts should be treated as legal or financial advice.

        I do not answer questions through private messages which should be posted publicly on the forum.

        Comment


          #5
          I'd go with option 3 and protect the deposit now. You'd be extremely unlucky if the tenants ever make an issue of it. Just don't try and make any deductions at the end of the tenancy and you should be fine. The fact a deposits been paid is usually enough to ensure tenants will look after the place - they don't know it's going to be returned in full.

          If you give the deposit back now you'll draw unnecessary attention to the fact you haven't protected it. Have the tenants noticed / said anything about it?

          Comment


            #6
            Totally agree with the above post.

            Unless of course, if you are having trouble with the tenants and you want to evict. In this case refund the deposit in full and obtain a receipt, then serve S21.

            Comment

            Latest Activity

            Collapse

            Working...
            X