1 in 3 not protected by tenancy deposit scheme
- 17th September 2008
- Renting Property News
Research has shown that up to a third of all renters are not protected by a tenancy deposit scheme.
Tenancy deposit schemes were introduced in April 2007 for the protection of renters deposits and it is now a legal requirement for landlords to place this in one of the government backed tenancy deposit schemes.
LV= insurance that carried out the survey, said 13% of private renters were refusing to pay rent towards the end of their tenancy if their landlord hadn't joined a scheme, because they expected to encounter problems with the return of their deposit.
Legally the landlord should give you details of the scheme your deposit is lodged with, within 10 days of the contract being signed, but it is thought that many renters do not understand this and don't realise it is for their protection.
John O'Roarke, managing director of LV= home insurance, says: "This research highlights the need for the Government to raise the profile of this legislation and for it to be more strictly enforced, to protect both renters and landlords, as awareness is currently very low. Although the majority of private landlords are undoubtedly honest, our research shows that many tenants have experienced problems getting their deposit money back in the past, and are worried this could happend again.
"The average deposit is over £500, which is a significant amount of money so renters need to make sure they know their rights."
This research highlights the need for the Government to raise the profile of this legislation.
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