Rising Damp Posted November 19, 2011 Report Share Posted November 19, 2011 Up here in scotland we are heading towards a rent deposit scheme next year. Anybody from England got any tips or what are the pitfalls? Link to comment Share on other sites More sharing options...
Richlist Posted November 19, 2011 Report Share Posted November 19, 2011 Pitfalls?.....virtually none for the tenant and for whom the system is positively biased IMHO. For the landlord the single most important requirement is.....evidence. A detailed inventory in & out. The DPS site carries help advice on how best to win a deposit claim. Link to comment Share on other sites More sharing options...
Guest theartfullodger Posted November 20, 2011 Report Share Posted November 20, 2011 re.. The DPS site carries help advice on how best to win a deposit claim. Yes, probably - but Scottish rules & regulations will be different (eg T can insist on adjudication even if LL wants to go to court). Large subject of pitches & discussion at the recent Scottish Association of Landlord annual day in Embra (join if you ain't a member already ..) There are various organizations touting for deposit business, some claiming to know exactly how things will work: Nobody does, the final regulations have yet to be approved & published.. http://scotland.gov.uk/Topics/Built-Environment/Housing/privaterent/government/SGTD1 Three proposals have been received to date, and evaluation of these proposals is underway. The terms of any scheme(s) considered as potentially suitable for approval after the evaluation is complete, will be consulted on. You can subscribe to receive an email about housing regeneration news that will include a link to any forthcoming consultations. Details will also be published on this web page.Until a suitable scheme is approved it is not possible to confirm when a scheme will become operational. Once a suitable scheme is approved, details of that scheme will be published here. Link to comment Share on other sites More sharing options...
Carryon Regardless Posted November 20, 2011 Report Share Posted November 20, 2011 I don't rent furnished or high quality properties (not slums, just to an acceptable standard). I stopped taking deposits for a time as I view it as a Gov't organised corruption designed to hold and enjoy massive amounts of public money. After all it is totally biased causing much greater effort by the LL to 'prove' his case, no consideration towards bad T's. With the low interest rates it seems that they now required subsidy. I started taking the deposits again as it's about the only psychological deterant against losses we have with bad T's. Although the knowledgeable will see that this isn't real life as it's more often too much trouble for a LL to go into conflict only to be embarrassed by the DPS decision / proportioned award. The LL need organise and pay for a quality check in and check out. The wear and tear will reduce the perceived value anyway so the LL will be replacing earlier than would have been and still only, if very fortunate, get a small contribution to the cost. Significant costs aren't covered by a nominal deposit. The LL efforts are not considered in any arena, this is given free. Many things cannot be picked up by check in / check out. Examples might be, quality of redecoration, fair wear and tear (repeating myself really), smells and remedial efforts to overcome. Recently I had a gas inspection fail as the long gone previous T's had run 'sky' through the loft and disturbed the flu. A minor leak that according to the inspector will require a new flu and ridge outlet. The holes in the ceilings (for cables) I charged for, no chance now of recovery of new flu costs. My opinion is that I take deposit as deterant. I give prescribed information. I don't help T's to recover deposit from DPS, their money, I attempt to negotiate settlement and then make a claim for agreed amount against deposit, Any dispute I would prefer County Court action but in truth would probably apply my check in / check out savings as an offset. My potentially wasted time is a greater saving. Link to comment Share on other sites More sharing options...
Richlist Posted November 20, 2011 Report Share Posted November 20, 2011 Recently I had a gas inspection fail as the long gone previous T's had run 'sky' through the loft and disturbed the flu. A minor leak that according to the inspector will require a new flu and ridge outlet. The holes in the ceilings (for cables) I charged for, no chance now of recovery of new flu costs. Why not ? Presumably you have a forwarding address for the tenants....write requesting the money and if necessary go thru small claims court. Link to comment Share on other sites More sharing options...
Rising Damp Posted November 20, 2011 Author Report Share Posted November 20, 2011 One of the propsers to run a scheme is from RBS and the money is supposed to be ringfenced. Ok, but what if we have another banking crisis? Is there a way of safeguarding deposits? Link to comment Share on other sites More sharing options...
Guest theartfullodger Posted November 20, 2011 Report Share Posted November 20, 2011 This matter was discussed at both a TC Young course on recent LL/T law updates & at SaL National landlord's Day (see http://www.scottishlandlords.com/Suppliers/SupplierDetail.aspx?RecordID=21 ) The one risk the legislation & legislator appear not to have forseen (!) is a Bank operating such a scheme going bust.... but it was remarked if this happens we'll probably have other issues to worry about beyond recovering any little deposit.. Mind you, probably same situation as one of the Engerlish scheme banks going bust... Hey, if you don't like the laws & regulations for any business find either.. a) Another business sector.. Another country.. Cheers! Link to comment Share on other sites More sharing options...
Carryon Regardless Posted November 20, 2011 Report Share Posted November 20, 2011 Finding another business, haven't you noticed but selling the properties we own is difficult nowadays ? Most will have mortgages that can't be settled without a sale, thereby creating a trap. When I went into this business some time ago much of the legislation that I resent wasn't in place. There was also a belief that the wrong doers would be seen as such by the courts, giving some chance of recovery. My experience now shows me otherwise. This really can answer your question also RL. To go into the court that was designed to work on the balance of probabilities I would be required to show the damage had been caused due to the T's actions. In my mind this is very possible, also by comparison of Gas Certs should be likely. I have been taught that the court will seldom sympathise with he who is perceived to have ability to afford though. Last time a judge said I would have to prove a bedroom door had been pulled from its hinges by the T, well I suppose I could have done it, but it doesn't seem 'likely' in the real world does it ? They, the ex T's, will claim to be unable to afford (happened last time) I might be awarded £20 pm again. Still waiting for that. I now must decide if I should instruct Bailiffs (and pay) to attempt recovery, or do I just lose more dosh if they have relocated or have nothing worth £1,500 that can be seized ? To suggest that someone who doesn't like the laws of the country of their birth should naff off elsewhere is a little simplistic. But certainly not a silly consideration. It's a shame the likes of Broon doesn't pay us for our mistakes like the Banks, the contrast is that we more often pay for the 'mistakes' of the T's. Bloody right I don't like it. Link to comment Share on other sites More sharing options...
Guest theartfullodger Posted November 21, 2011 Report Share Posted November 21, 2011 I've used the courts to attempt to recover monies from various ex-tenants.. I'm exceedingly happy with the judgements and processes, and so far have extracted over £6.7k from the little scrote-bag toe-rags.. Mind you, you do need great patience, time, diligence and (some..) money. Three things add to the money.. .. one was hearing from (it was Scotland..) the Sheriff's officer telling me the debtor "went white" when he was served with earnings arrestment... .. second was/is that whenever I see any other these splendid ex-tenants I give them a smile, a cheery wave & thank them kindly for the money... I'm sure it makes their day.... ;-) .. thirdly (in Scotland..) one has 20 years to recover the £££ and if they ain't paying it goes up 8% pa.. Where else can you get 8% (Oh, OK, Zopa...). My own view is that you continue to pursue, to the uttermost, anyone who owes you money (tenant, landlord, agent.. whoever..) if only to ensure... - they know you ain't forgotten,.. - there's a CCJ/decree on their records for others to see.. - you may well get some ££££ - they don't tell all their mates what a lovely soft-touch you are, then their mates come round to rent from you... Cheers! Artful Link to comment Share on other sites More sharing options...
Carryon Regardless Posted November 21, 2011 Report Share Posted November 21, 2011 Points taken and acknowledged. There is an opposite effect to them having a soft touch theory. Most that spend money on such as repairs, court costs, will never say "ah well I suppose that was right". The T who damaged the flu and left holes in the ceilings wrote to say they took photo's on departure, and although I had detailed the works, couldn't see why they should pay anything. I just know the word of mouth from them will deter potential T's. My find only Agent had a viewing from an ex T's brother. The brother signed friday after many excited phone calls to me, and called me Monday to say voices had told him he couldn't live there. His Mother now states that I harassed money from her the G'tor to release him from the contract, about £600. No point in taking total dross but, not surprisingly, in today's climate there will be many in the high unemployment areas that that are of less quality than we would hope. There is no point in chasing someone without dosh for dosh. There is also more that become wise in debt avoidance / evasion. They clearly don't want to pay or they would have, now the game is how not to. The states policies are increasingly in their favour. I am aware that there is much more I could learn regarding debt recovery, but life is short. While some here may see me as moaning without purpose others might consider their potential future efforts and their worth. For me max financial return, or standing proud isn't always a winner over free time on the beach. I do have pride in that I don't do to others as they do to me. When I'm on the beach I can't say my thoughts return to the squalid life these individuals can't escape from. I feel the need for another excursion to a sunny place, the smiles of the locals is infectious, the cure for the infection is returning to the same old, same old, same old. Maybe January after that bloody Christmas malarkey, humbug, grumble. Feel happy if you want, that's between you and him. Link to comment Share on other sites More sharing options...
Guest theartfullodger Posted December 6, 2011 Report Share Posted December 6, 2011 New consultation on the subject of deposits from big 'eck... http://www.scotland.gov.uk/Publications/2011/11/28114920/0 There appear to be only two proposed schemes currently.. 1.2 The two proposals covered by this consultation are: - The Letting Protection Service Scotland - SafeDeposits Scotland Link to comment Share on other sites More sharing options...
chickpea Posted December 9, 2011 Report Share Posted December 9, 2011 My tenancy agreement states that any interest paid on the deposit will be kept by the agent - is that correct?? Link to comment Share on other sites More sharing options...
Carryon Regardless Posted December 9, 2011 Report Share Posted December 9, 2011 Doesn't make any difference as there won't be any. Link to comment Share on other sites More sharing options...
chickpea Posted December 9, 2011 Report Share Posted December 9, 2011 I've asked this on my other epic post, but is my agent correct in trying to tell us that the DPS will contact the tenant with the prescribed info etc? The agency director is trying to tell us that there's no case law and that even if the case was taken to court, as long as the deposit was protected even an hour before the hearing, everything's fine Link to comment Share on other sites More sharing options...
Carryon Regardless Posted December 9, 2011 Report Share Posted December 9, 2011 He's not wrong but it's a crap excuse for him hanging on to the money in the hope that in the long term he can keep it. I would say he has now confessed that the deposit isn't protected. Now he's sacked it should be forwarded to you to protect. MCOL if no cheque by Tuesday is my opinion. Link to comment Share on other sites More sharing options...
chickpea Posted December 9, 2011 Report Share Posted December 9, 2011 Thanks Cor. I've dug around on this site and seemingly, it's not enough to protect th deposit between a court summons and the court hearing - there have been 2 cases, one that found in favour of the lanlord, the other found in favour of the tenant. As you suggest, the very fact that the agency director is offering up that as an excuse shows us what his intentions are. Excuse my ignorance, but what's an MCOL? Link to comment Share on other sites More sharing options...
Carryon Regardless Posted December 9, 2011 Report Share Posted December 9, 2011 Money Claim OnLine Link to comment Share on other sites More sharing options...
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