Tenancy deposit claims explained

17 May 2021

All of our deposits are insured by the Deposit Protection Service. At the end of a tenancy, there are times when landlords need to make a claim against part or all of the deposit. This typically has 3 outcomes:

    A) The tenant agrees with the landlord’s claim against the deposit

The DPS will contact the tenants with the claim amount, the tenants will agree to the figure and accept that part or all of the deposit is released to the agent. We then receive the funds within 10 days.

    B) The tenant does not respond to the claim. 

This is often the case if we are withholding the whole deposit as the tenant has no incentive to accept the claim. In this case, we have to give the tenants 14 days to respond to the initial claim and then do the following:

  1. Apply for a Statutory Declaration from the DPS and complete this 
  2. The Statutory Declaration, once completed, needs to be sworn or affirmed by either a solicitor, a commissioner for oaths, or a magistrate which can take time. 
  3. Return the completed and signed Statutory Declaration to the DPS
  4. The DPS then send the Statutory Declaration notice on to the tenant and give them 14 days to respond to this 
  5. If no response from the tenants within 14 days, funds are released to us within 10 days. 

   C) The tenant disputes the amount claimed from the deposit 

Should the tenant disagree with the amount claimed for they are then given the opportunity to dispute all or part of the claim. Both tenant and agent are then asked if they agree to use the Deposit Protection Service dispute resolution service. When both tenant and agent agree to this they are given 14 days to submit their evidence to support the claim. We provide the Deposit Protection Service with the tenancy agreement, the signed inventory completed at move in, photos and a report of the exit inspection, rent report (if required) along with any further evidence that may support the claim. After the 14 days have expired the adjudicator will make their decision within 28 days. Payment will then be made to the parties awarded all or part of the claim within 10 days of the decision. 

Posted By

Alice Thomas

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