Singing Pig

Railto,

Good on you!

Quick question: When you renew the contract by issuing a new AST, what do you do with the registered deposits? Do you unprotect and reprotect them?

I issue a new AST yes  - witht he new rent stated

Re deposits - I insure them through My Deposits....part of the NLA and Hamilton Fraser Insurance Services - you then dont have to lodge the monies with someone else.

www.mydeposits.co.uk

snap!

i've also started charging back the £30 fee to each tenant.  have not had any complaints so far, especially as the tenant gets a copy of the invoice.  i don;t know if this is a "northern" thing (greg - i am aware of your views about perceptions of the north ;-) ... ), but i have had hardly any queries about the TDS .. but when i provide the docs (2 copies, one for signing and returning to me), it seems to reinforce the "professional landlord" image ... which i make sure i highlight that most amateurs don;t bother with the TDS .... "don;t worry, we do, yuor deposit is safe with us" etc ..................

Pod:

I've also started charging back the £30 fee to each tenant.  have not had any complaints so far, especially as the tenant gets a copy of the invoice.

Make sure that the invoice states something like "tenancy renewal fee". Charging the deposit fee to the tenant is specifically outlawed in the legislation, and may land you in hot water. 

Aldric Alphonse:

Quick question: When you renew the contract by issuing a new AST, what do you do with the registered deposits? Do you unprotect and reprotect them?

That's what mydeposits say you should do with their scheme. This is a rule modification, and it wasn't the case when the scheme started. 

To me it is only a revenue raising rule. 

After all, you don't stand in front of your tenant when they are ready to sign again, give them back their deposit and then receive it back when they have signed the new TA. It stays untouched where is should be: in your tenants deposit account. 

If you don't unprotect and re-protect, I have yet to get to grips with any sanction that might be imposed. 

David A:

Pod:

I've also started charging back the £30 fee to each tenant.  have not had any complaints so far, especially as the tenant gets a copy of the invoice.

Make sure that the invoice states something like "tenancy renewal fee". Charging the deposit fee to the tenant is specifically outlawed in the legislation, and may land you in hot water. 

of course ... it is a "tenancy application fee" ... covers the cost of ........ well, does it matter?  it covers the cost of the TDS, let's be honest ... i just have to go through this ridiculous charade of pretending it doesn;t .... so be it.  another example of HM Government interference .... but, one way or another, tenants will ultimately pay ...

David A:

That's what mydeposits say you should do with their scheme. This is a rule modification, and it wasn't the case when the scheme started. 

To me it is only a revenue raising rule. 

After all, you don't stand in front of your tenant when they are ready to sign again, give them back their deposit and then receive it back when they have signed the new TA. It stays untouched where is should be: in your tenants deposit account. 

If you don't unprotect and re-protect, I have yet to get to grips with any sanction that might be imposed. 

That's exactly why I asked the question. Albeit a small fee, it seems a superfluous charge to me, which soon adds up with multiple properties and tenants. Despite what they're asking us to do - to unprotect and reprotect deposits. Just wanted to know what everyone else is doing. Is anyone else questioning this?

I have raised this with both mydeposits and NLA and the response I got was: 'maybe more LLs should complain about then!'

Seems that's a grey area.