With the Tenant Fee Ban 2019, Landlord's and Managing agents must be vigilant in ensuring that all deposits adhere to the new Tenant Fee Act. That is, of course, if you don't want to be left liable for a claim of up to three times the amount of the deposit, plus the deposit itself, like this recent case which saw a landlord forced to pay £4,800 back to the tenant!
Don't get caught out! Where a tenancy has been entered into prior to the 1 June 2019 and where there is a significant change or renewal to a tenancy, if the deposit held is above the cap - no matter how small the refund - this must be returned.
The updated Deposit Protection Certificate, prescribed information and deposit protection Leaflet/T&C's should then be re-served.
If you're a landlord or agent in need of some legal advice, please contact our team of experts on 02380 221344.
The legislation states that a refundable tenancy deposit must be capped at no more than five weeks' rent where the total annual rent is less than £50,000, or six weeks' rent where the total annual rent is £50,000 or above.