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returning deposit


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Hi All,

I have been advised to return my tenants deposit as i did not protect it when i should have done and i have been told i cannot serve a section 21 until i have returned it. i have today sent the tenant a cheque for the full amount as i do not have any of her bank details ect. once she has cashed the cheque do i then unpretect her deposit or leave it until after section 21 has expired and court papers have gone in? i am only asking as all i keep reading is that the court can make me protect it and will impose a penalty but if i give it back is there any point of me still protecting it. if i have to unprotect it then on the court papers where it says that i have complied and it asks for the ref number do i just put unprotected and send a copy of the certificate but explain i sent it her back? thank you for any replies.

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Hi Jan,

You have been correctly informed that a Section 21 notice is not valid if the deposit is not protected.

It would seem that you want to take possession of your property via Section 21 but I would not bother with any deposit now to keep things simple. (I don't see how you could take a deposit once it is refunded.)

Just concentrate on issuing the right version of Section 21 depending on when the tenancy started.

Mortitia

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Hi Jan,

You have been correctly informed that a Section 21 notice is not valid if the deposit is not protected.

It would seem that you want to take possession of your property via Section 21 but I would not bother with any deposit now to keep things simple. (I don't see how you could take a deposit once it is refunded.)

Just concentrate on issuing the right version of Section 21 depending on when the tenancy started.

Mortitia

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hi mortitia,

I have sent a cheque off today to the tenant but i do not want to issue the section 21 until dec, i have been informed that i have the right form and i have checked and double checked, what i am worried about is the court forms when the time comes so i will most probably end up on here again as i do not have solicitors fees for them to do it for me and now tenant is one month behind with the rent. but i thank you very much for your advice.

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Why wait until December? You can issue Section 21 4 (a) or (B) now and 'activate' it in December if you wish. The worst thing about S21 and S8 (when rent is 8 weeks in arrears) is waiting for the notice period of 2 months to expire. If you already have served the S21 and 2 months has passed you can apply directly to the courts who themselves take flippin ages to deal with things.

Mortitia

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hi mortitia,

i am going away for 5 weeeks in dec so thought if i issue it now then i will not be back in time to start court case as i do not get back til 16th january so i am giving myself plenty of time to prepare for everything.i have never done any of this before so i need to get it right and if she kicks off when she gets the section 21 i wont be here:D

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The point is that there is no longer a deposit, once the tenant has cashed you cheque and on the understanding the deposit has been returned to her you will be able to serve your s.21 and then issue your claim for possession. Do not worry about the claim form you can email it over and I will give it the once over for you.

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