Tenants’ deposits are normally twice the monthly rental for the property they chose. The purpose of the deposit is to cover damage to the property over and above normal wear and tear and/or any rent arrears or costs incurred as a result of a breach of the contract.
Under the Housing Act 2004 any landlord or agent who takes a deposit from a tenant for an Assured Shorthold Tenancy must safeguard it in an approved tenancy deposit scheme. Portico are insured agents and will hold deposits as members of the The Tenancy Deposit Scheme (TDS).
The TDS has been established to serve three principle objectives:
- To ensure the return of the deposit promptly at the end of a tenancy where no dispute is raised
- To protect tenants’ deposits throughout their tenancy
- In the event of a dispute, to ensure that it is dealt with fairly and quickly by the Independent Complaints Examiner
At the end of any tenancy, Portico will return the deposit to the tenant as soon as practicably possible, less any deductions agreed. However, occasionally, a dispute may arise regarding the proposed deductions. If this cannot be agreed between the two parties, Portico are able to refer any deadlocked disputes to the TDS. Each case is sent to an Independent Complaints Examiner and subject to expert third party adjudication resulting in the apportioning of deposit money.