Lost deposit, doesnt seem fair

[lostmydeposit]

I accept I may BU here but as I'm going to learn a 4 figure lesson I think I can ask...

I rented a property. It was first property I'd ever rented so I didn't know how it worked exactly. I paid my deposit to the letting agent. I was told it had been protected. There was no check in nor check out. My landlord was resident abroad (somewhere in the Caribbean, Caymans I think) for tax purposes so I never met them.

I was going through a lot of personal issues when I left, police etc were involved. It was a difficult time. I was also working 300 miles away.

With everything going on, it was only once stuff calmed down a few months later that it occurred to me I'd not had my deposit back. Id had no contact with agents so contacted the co who were protecting the deposit. They said as it was more than 3 months from the end of tenancy I was too late, and they didn't hold the deposit it was with the agents. My only recourse was to them.

I contacted the agents. They said they had never held the deposit and id need to contact the landlord. Except as landlord is abroad that's basically impossible, and I cant even take it to small claims because I don't have an address in UK for the landlord!

I know now I should have done something in 3 months. I had so much other crap going on, plus I didn't know there was such a strict time limit. It just seems so unfair I'm now a grand down and have no recourse.

Have I got this right? You paid deposit to LA, DP company admit they had it but, correctly, returned it to LA at end of tenancy. LA now deny knowledge of the deposit? I'd certainly speak to Shelter but I'd also I'd inform the LA that you will be taking this further including the Small Claims Court.

Was the tenancy in England or Wales? If so the landlord has to have a U.K. address for the serving of notices.

Letting agents are legally obliged to use one of the proper schemes for deposits aren't they? I would go back to them and keep kicking off until you get it back. Get some legal advice, good luck.

So the deposit company never had the deposit in the first place, or they did but they returned it to someone else?

You can take this to small claims but you would need to work out who to actually bring the case against! If it was passed to the agency, they shouldn't have just given it to the landlord. You might be able to bring a claim against them.

Pencils - I expect the LL held deposit all along and registered it with one of the schemes, as they can do. There's no transfer of deposits back and forwards between agents, LLs or schemes unless a dispute has been raised in which case insurance backed schemes then request the disputed funds to distribute after adjudication.

OP - following my post above, how long ago was it that the tenancy officially ended? You'd have such a solid case for receiving full deposit of the deposit scheme would agree to adjudicate past the three months, without any check in or out the LL would be extremely hard pushed to prove any deductions

Sorry that was to Penfold! Autocorrect

PP are correct - the deposit is YOUR money, not the LL. The only way the LL can ask for part or all of it, is to notify you of their intention not to return £X amount because of damage/reasons - which they have to list.

So when you moved out, the agent should have returned the deposit to you unless the LL was claiming damages. But if they were, then the agent should have notified you of this and without anything to show that they have done this, then they need to return the money to you. It's not your problem they've decided to send your cash to the LL!

If they continue to refuse to return it, then file a small claims report. It doesn't cost much and with nothing from them to say you'd signed it away - or evidence that they wrote to you to say it was being retained -
then they won't have a leg to stand on.

Go to Shelter or CAB. They will hold your hand, and take you through the whole process. They will have pro forma letters you can use etc etc. Do not stress. But get someone like one of those two organisations to help you. It will save you time, be a lot less stressful and you will be supported. No point wasting any more energy talking to agent at this stage. Get proper advice and follow it.

Also remember the time limit for the small claims isn't 3 months, it's usually 6 years. But don't delay unduly.

OP had already said agent never held the deposit. It's not that unusual for LL to hold it.

I'm also wondering if OP can find a way to reach LL just in case (v optimistic here) LL had simply forgotten to deal with it? If I understand right you've not been in contact at all? Does LA have a contact for LLs/can you reach them online?

www.depositprotection.com/documents/a-guide-to-tenancy-deposits-disputes-and-damages.pdf

m.england.shelter.org.uk/get_advice/tenancy_deposits/getting_your_deposit_back

I sent these two documents to DD when she was in dispute with her landlord over returning the deposit.

They were invaluable for finding out your rights about this. If you can find a bank statement or any paperwork that proves how much you paid, it’s good start.

I don't have anything helpful to add...I just wanted to say....

I love the knowledge these Gals share on here... bloomin marvellous..

Go get your MONEY OP

It doesn't matter if the LL is holding it - it still must have been registered, OP still should have the details of who it was registered with (if not she can look it up online).

The process is that it should have been returned to her, 3 months or not, both the agent and the landlord are in breach here for not managing this correctly, not OP. Shelter have all the details for this, all the forms and letters. This is your money OP. Get it back.

OP has the details of who registered with and has spoken to the scheme. They will no longer adjudicate as past the limit. Yes, OP should have had the money back but unfortunately hasn't so now needs to know next steps.

Hence OP should first get in contact with LL to request it back (write to the overseas address, ask agent for contact details and ask for their help as they won't want bad publicity), ask scheme again v nicely if they'll adjudicate even past time limit. Failing all of that, citizen's advice bureau to ask about court action - I'm not sure but they might say to use UK address for service of notices for legal action.

Marmite I hadn't realised the LA or LL could register the money but still hold onto it! Learn something new everyday.

I've had something like this problem. Turns out LLs were criminals (seriously - they are now in prison for drug and gun trafficking!) and ran off with our deposit. We threatened to name and shame the letting agency and they reluctantly coughed up 70% of the deposit as a 'good will gesture', even though technically they didn't have to. If you threaten to go to Watchdog/Twitter etc about letting agency not protecting tenants they might be more willing to help.

No need to despair OP!

Although the deposit companies won't help you after 3 months, you still have your rights under the law (and it sounds like your agent/ LL have been pretty careless with the law here).

Go to the CAB and/or Shelter. They can advise you and your local CAB should be able to sit down with you and go through your paperwork and emails etc and help work out what and help with writing letters etc.

Gather all your paperwork like tenancy agreements and check-in/ inventory if you you had one.

I'm sure you will see at least some of your money again if not all of it (they can only withhold for damages under certain conditions), and maybe due more if you are eligible for compensation if your deposit wasn't protected.

Good luck and don't give up!

Thanks everyone. Shelter are going to look into it for me.

The deposit scheme said they never held the deposit. According to their records it was held by the agents.

This made sense to me as I paid the deposit tp the agents personally in cash.

Agents say they never held the deposit as they were just intermediaries.

The Agent could be telling the truth, Im a ll and I have all the deposits they take passed on to me (and then I protect them, so I know its done).

So, first check the deposit isnt protected in the only 3 places it can be:
england.shelter.org.uk/housing_advice/tenancy_deposits/check_if_your_tenancy_deposit_is_protected

If it is, ask them how to get it back.

If not, assume the ll didnt ever protect it (your contract is with him anyway, nothing to do with Agent). So go to Shelter or CAB and ask for their help with completing small claims paperwork.

OP has the details of who registered with and has spoken to the scheme. They will no longer adjudicate as past the limit. Yes, OP should have had the money back but unfortunately hasn't so now needs to know next steps.

But there's nothing to adjudicate here - there are just procedures to follow, which clearly weren't or OP would have her money now. There's no 'dispute' because there's never been an attempt by the landlord to retain the deposit. At a bear minimum, the scheme needs to be investigating its processes to discover how this was allowed to happen, otherwise, what's the point of having a scheme at all? If they don't enforce their own processes?

Sorry, just seen update. How does a scheme know the Agent kept it? They must have records of it then?

Just to clarify, as a Landlord myself who uses a Letting Agency, the LA do not always set up the deposit scheme - that is up to the Landlord, they can get the LA to do it, or do it themselves (as I do).

However either way the LA or Landlord are legally obliged to set up a deposit scheme, to hold the deposit until the end of the tenancy - whereby they mediate if there is any dispute as to what should be repaid.

This seems very wrong, the Agent must have the paperwork you signed and they should produce a statement for both the L & T showing what monies have gone where. They sound a bit dodge to me.

Good luck, don't let it go!

You need to write a "letter before action" and send it to the address that your tenancy agreement has "for the serving of notices" this is likely to be the letting agent, but may be a UK address for the landlord. It must be a UK address or it isn't legal.

If you haven't seen any confirmation of your deposit being placed into a deposit protection scheme within 28 days of your tenancy beginning you can take the LL to court for 3 times the amount.
Shelter were really helpful when I had issues with my LL

I would start communicating with the agents by email or letter. Do not use a phone as you will need supporting evidence. Do you have a copy of the TDS? You should be given one on top of your tenancy contract. There have been previous cases where people are able to claim 3x the TDS amount if the deposit isn't protected correctly. I can't remember the site landlordzone or similar.

It also depends if the tenancy is fully managed by the letting agency or by the homeowner. Some letting agency are crooks and the homeowner tends to lose out and having to pay the ex-tenant when the case goes to court. Try your best to find the TDS and your contract. I don't know if you're able to request a copy or details from your former agent.

How to claim Compensation for TDS
england.shelter.org.uk/housing_advice/tenancy_deposits/tenancy_deposit_compensation_claims

Before you start a court claim, you must send your landlord a formal 'letter before action'. This letter must set out the detail of your claim.

You can take court action against a letting agent if they manage your tenancy deposit on behalf of your landlord.

Many landlords agree to settle your claim after they receive a letter before action.