Landlords urged to get deposits protected

News Category: Legal

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Ahead of new legislation introduced in April, private landlords are being urged to get their deposits protected with letting agents who are members of accredited industry bodies.

Paul Weller, managing director of letting agent Leaders, wants landlords and tenants to check that their deposits are held with letting agents which will be covered when changes to the government's Tenancy Deposit Scheme (TDS) criteria become effective on April 6th.

This legislation will limit tenancy deposit protection to letting agents who are members of professional bodies, such as the Association of Residential Lettings Agents or the Royal Institution of Chartered Surveyors.

Mr Weller urged landlords and letting agents to ensure they are legally compliant with TDS legislation, as the penalties are "harsh".

"The landlord could be ordered to pay three times the deposit to the tenant as compensation for not protecting it properly," he said.

His comments come after the TDS appointed Helen McCarthy to the position of outreach manager this week.

From next month, she will meet letting agents and look to improve the TDS service and ensure that members understand how to use it to their advantage.

How to stay legally compliant with letting agent software.