Does my landlord have to pay me interest on my deposit?

[Sushifiend]

BoRED S2upid said:

Sushifiend said:

The rental was £2800 per month. £4200 as a deposit didn't seem unreasonable to me.

Thanks for all the replies - If that's the way it is then I'm more than happy to take my deposit back and let the landlord keep his couple of quid interest. He's actually got a few rental properties and was pretty sketchy on how he'd keep the deposit safe. He said he'd registered with the deposit scheme but I had understood that they don't actually hold the funds. I'm almost 100% certain he didn't lodge it with any deposit scheme - he just set up a separate savings account.

Edited by Sushifiend on Friday 20th November 19:49

That is steep for a deposit it's never more than one month for me.

Deposit protection can be lodged but they don't have to hold any money they simply act as a mediator if the landlord tries to screw you for a new carpet.

Let him keep a few quid interest get your deposit back and move on.

All the lettings agents we spoke to wanted between 1.5 and 2 months rental as a deposit. That was my first and only experience of tenancy in this country, so I wasn't sure how it worked - hence the OP. If I am due interest on the money, then I feel entitled to ask for it. If not, then that's all there is to it. I just wanted to know either way.

Thanks for all your responses everyone!

Edited by Sushifiend on Saturday 21st November 07:34

[iantr]

gazapc said:

My understanding is that if the landlord has not secured the deposit in an approved scheme then he is being quite naughty and could infact end up paying you compensation for upto 3x the deposit amount. On £4+k that is quite some amount so could be worth persuing if the landlord has not complied with his legal responsibilities.

http://england.shelter.org.uk/get_advice/tenancy_d...
https://www.gov.uk/tenancy-deposit-protection/if-y...
http://england.shelter.org.uk/get_advice/tenancy_d...

A search on moneysavingexpert will also throw up many cases of this with some advice on how to proceed.

Me, even if the money was apparently 'safe' in an seperate account I would not at all be happy with the landlord not complying with the requirements.

Edited by gazapc on Friday 20th November 21:19

Edited by gazapc on Friday 20th November 21:21

Worth "persuing" even if the deposit is returned without any issues?

[gazapc]

iantr said:

Worth "persuing" even if the deposit is returned without any issues?

Oops

If I discovered this probably yes, the tenant isn't just lending the landlord a few £k for two years. The landlord has to realise the relationship is more of a business and he can't pick and choose what requirements to comply with.

Of course we don't know if the landlord has accessed money throughout the tenancy term. I could certainly imagine a situation though where the landlord is having a 'tight month' and just dips into the easily accessible money which is supposed to be secured.

Even if the OP gets it back I'm sure the next tenant will have the same arrangement so the landlord does need to be told in a clear way (and hopefully give a message to other landlords not meeting their obligations). Feel bad getting the compensation? Then take the deposit and give the rest to a housing charity.

Edited by gazapc on Saturday 21st November 08:48

[nyt]

gazapc said:

iantr said:

Worth "persuing" even if the deposit is returned without any issues?

Oops

If I discovered this probably yes, the tenant isn't just lending the landlord a few £k for two years. The landlord has to realise the relationship is more of a business and he can't pick and choose what requirements to comply with.

Of course we don't know if the landlord has accessed money throughout the tenancy term. I could certainly imagine a situation though where the landlord is having a 'tight month' and just dips into the easily accessible money which is supposed to be secured.

Even if the OP gets it back I'm sure the next tenant will have the same arrangement so the landlord does need to be told in a clear way (and hopefully give a message to other landlords not meeting their obligations). Feel bad getting the compensation? Then take the deposit and give the rest to a housing charity.

Edited by gazapc on Saturday 21st November 08:48

In fairness, this law is intended to protect tenants from landlords not returning the deposit. This landlord has shown no sign of intending to withhold the money so it's a slight transgression. If he has gained interest then it'll be a small amount at today's rates.