Sometimes self-managing landlords don’t realise they have to protect their tenants deposits or they forget to do so. This can cause huge issues further down the line.
Why is it so important to protects deposits?
Firstly, it’s a legal requirement to protect a tenants deposit and has been since 6th April 2007.
Failure to protect the deposit will mean you won’t be able to serve a valid section 21 notice. This restricts your ability to evict a tenant and brings a lot of stress to property management.
Another reason to make sure you protect your tenants deposit is because they could bring a claim against you for not protecting it for up to 3 times to deposit sum.
How do you protect your tenants deposit?
In England and Wales your deposit can be registered with:
How we handle deposits as an agent:
We can take the stress away for you! Having an agent to manage your deposits means you don’t have to set up your DPS own account and can save yourself time. You can relax knowing everything is being dealt with in the correct way and avoid any slip ups.
All of our deposits are held in the Deposit Protection Service. Initially the tenant will pay the deposit to us at Ultra Lets and we send it straight through to the Deposit Protection Service who’ll hold it for the rest of the tenancy. Find out more about how we handle deposits here.
Got any questions?
We’re happy to answer any questions you may have, please give us a call on 01482 562562.
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