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Tenancy Deposit Schemes

These schemes were formed after a modification in the law to stop tenants from being unlawfully withheld of their deposits by their landlords, by means of the Housing Order 2007.

All deposits given through a guaranteed shorthold tenancy are now protected and secured by law, and landlords are obliged to place the deposit in an insurance-based deposit, or in a custodial tenancy deposit. It is mainly essential to check this arrangement when you are trying to deal with private landlords.

An Insurance-based Deposit Scheme

This type of deposit scheme is where a landlord pays off a certain amount into the scheme that will insure against illegal retention of the deposit at the end of the tenancy. Once the deposit is paid back, the landlord notifies the scheme that protection for the deposit is no longer required.

Custodial Tenancy Deposit Scheme

This deposit scheme is where a landlord transfers the deposit to the Government agreed deposit organization called Deposit Protection Service or DPS.

This service is entirely free to use and is financed by the interests earned on deposits. This custodial scheme gives the deposit back if the landlord and the tenant agree on how it should be dispensed. It also has a disputes service if the landlord and the tenant cannot come into agreement.

Home Renting Guide

Each section has been broken up and placed on its own page below to make it easier. Click the links for the individual topics and go through our complete guide to renting your home.

Table Of Contents

1. Introductionto renting your home
2. Renting From A Letting Agent Or A Landlord
3. Viewing A Home For Rent And What Essential Questions To Ask
4. Tenancy Contracts Explained
5. Responsibilities Of The Tenant
6. Renting Deposits And Fees
7. Tenancy Deposit Schemes
8. Rental Insurance
9. Dealing With Complications That May Arise When Renting
10. Where To Go When In Need Of Help