The Tenancy Deposit Scheme

The TDS is part of the new legislation implemented under the Housing Act 2004, and became law on 06.04.2007 and applies to all new Assured Shorthold tenancies form that date. All renewed tenancies must now be included in the Scheme. All Landlords will be required to join a TDS if the take money as a deposit.

It is there to ensure that deposits are held correctly and that a tenant paying a deposit and is entitled to have it returned, they can be assured that this will happen. The TDPS will also assist with any disputes by having an alternative resolution scheme (ADR). Both Landlord and tenant will be offered, on any disputed sum, the ADR aims to be faster and cheaper than taking Court action.
All Landlords must comply with these regulations; Penalties for non-compliance can be very harsh

• The court can order repayment of the deposit to the Tenant and the Landlord will have nothing.
• They can order a further 3 times the deposit to the Tenant by the Landlord as compensation for not holding the deposit correctly.
• The Court may order further costs to the Landlord.

For further information contact: Tenancy Deposit Scheme, Independent Housing Ombudsman Limited, Norman House, 105-109 Strand, London WC2R 0AA. Telephone 020 7379 1754 or E-Mail ombudsman@ihos.org.uk

www.ihos.org.uk/tds

www.thedisputeservice.co.uk

www.direct.gov.uk/en/TenancyDeposit/DG_066380

What is an inventory and why do I need one?
An inventory is an accurate and detailed description of the interior of a property; recording the furniture and fittings and also describing the decorative order. By using an impartial company, this report will allow an accurate comparison to be made at the end of the tenancy and thus is primarily used to prevent or resolve any dispute between landlord and tenant.

The Association of Residential Letting Agents (ARLA) states that “inventories are an absolutely essential document that provides a written benchmark that should be amended, updated and recreated before the beginning of each new tenancy.”

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