Deposit Protection Schemes
Tenancy deposit protection (TDP) programs are used to allow the tenants to get their deposit back at the end of a tenancy, so long as the property has remained in a acceptable condition. The two main types of deposit scheme are Custodial Protection and Insurance based protection.
In this method the deposit will be held by the scheme organiser. It will be accessible by both the tenant and the landlord and when the tenancy has concluded it will be given back to the tenant. However if any significant property damage has occurred then the deposit may be given to the landlord to cover the cost of the repairs.
In this situation the estate agent or landlord will hold the deposit. They will then need to pay a fee to ensure that it is not being illegally held at the end of the tenancy.
At The Beginning Of A Tenancy
Once a tenancy agreement has been arranged the deposit payment can be made and placed in the protection scheme. The tenant must then be information of the following:
- Details for the person or company that is responsible for protecting the deposit.
- An explanation on the purpose of the deposit
- How to release the deposit
- How to deal with any disputed regarding the deposit
When the tenancy has finished the landlord must inform and return the correctly amount of the deposit to the tenant. Normally all of the deposit will be returned but the landlord may keep part of the deposit to cover the cost of any damages to the property that may have occurred. For more information please contact our agents
. They will be happy to answer any questions you have and can get you started with the property letting process.