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.

Hope you get it back soon. Start emailing/putting things in writing rather than phone calls, or follow up phone calls with emails. so you have a good paper trail.

Everything so far is in writing, by email.

The agents haven't replied to me again. I asked them to explain why the deposit scheme say they registered the deposit with them (but held it in their account) and they told me different. I've also asked them to explain when they told me it was being returned to landlord, and about check in and check out. Also for the landlords UK address. They've not replied

Deposit scheme are clear that the deposit was registered by agents who said they were holding it on account. However they say beyond confirming that info they will not get involved as I'm outside 3 months.

Dont let it go!

I'm going to keep pushing the agents. Ultimately if they'll give me back 50% I'd take that. I think if they have fucked up, which it seems they might, they may reimburse me something to keep me quiet. However if they dig their heels in and insist i take it up with the landlord, unless i can prove they have a UK address for service of court docs I'm going to struggle to take it forward as I couldn't take it to small claims without an address in England or Wales for them. I think from memory on the paperwork they gave a c/o address which was their accountant or something. Flaming tax exiles!

Don’t take 50%.

It’s your money, not his. Keep remembering that.

Keep pushing OP! Sounds like LA have messed up somewhere along the line! Easier to do if you paid in cash I’m guessing (no electronic record!). Good luck!

Do the agents belong to a professional body? You could also log a complaint with them. I imagine if they are, it would be www.arla.co.uk

And not don’t take half.

Did the deposit scheme tell you if there was a dispute or deductions request from the LL/LA?

You need to find that out and then speak to Shelter for specialised advice. The advice will be quite different if there was no deductions and the LA simply gave the money to the LL (or kept it) than if there were deductions and you never disputed them.

If there were no deductions to be made, or deductions that didn't take up the whole deposit, then the whole deposit should be returned to you and they can't simply say it's been too long. It's your money.

I've asked deposit scheme to clarify if they were aware of the deposit being returned to landlord, why any was being withheld etc. I suspect they are going to repeat that it's outside 3 months and they're not getting involved. But it's worth a try. Something definitely doesn't add up.

Throwing something else into the mix...

If your landlord is not resident in the UK, you need to check the tax situation with the rental. The LL should have registered with HMRC and provided you with evidence that you do not need to pay over the 20?% to HMRC. Again Shelter can help you with this.

Definitely don't mention this to the agents yet but it could act as extra pressure to get them to pay up. As others have said, failure to protect the deposit can result in up to 3 times the deposit amount as a fine. The LA should be aware of this. Best of luck and DON'T accept anything less than the full amount.

I'm totally with the OP on this and really hope they get their money back but surprised nobody else is suggesting OP simply asking for their money back? Either contacting LL directly (it sounds difficult but presumably they have a name and address, albeit overseas) or putting pressure on agent to. If OP has just realised she is owed the money, it's possible if optimistic that LL being overseas hasn't really thought about it either.

I can't see that agent has really done anything wrong (except possibly in being misleading if tenancy agreement/deposit documentation says agent holds as stakeholder rather than landlord?) but they really ought to help OP as a duty of care

The OP has already said more than once that the deposit was protected, so unless LL or agent failed to provide prescribed information, guide notes or the protection was registered after 30 days then the three times deposit thing is irrelevant and distracting

Also not the scheme's fault - how would they have known deposit hadn't been returned? They provide a great service as an insurance scheme in stumping up money if LL fails to, and providing free adjudication if a dispute, the only stipulation is within three months of tenancy end (not sure why - practicality reasons I expect). Otherwise tenants are able to go through small claims as they were before the schemes were established

Don't give up OP and I hope you get everything back!

Just an update for you...

The deposit scheme say that all they can tell me is that the deposit was registered with them by the letting agents.

According to the deposit scheme, the letting agents didn't have to tell them or me the money had been returned to the landlord.

The deposit scheme also say that they didn't have to tell them or me about any dispute. If I didn't get my money back, it was down to me to raise a dispute within 3 months. I didn't so basically tough luck.

Deposit scheme has no address for landlord. I can't find paperwork atm but I know the landlords address was a c/o or post box. The letting agents have not replied to my email asking for current contact details in UK for landlord.

I seem to be scuppered. Whilst I can go small claims I need an address in England for service, and I don't have one.

The above is me, the OP. I have logged in on phone not laptop and it doesn't seem to recognise it's me on the thread! Hopefully this post will.

Can you find the landlords details by checking the land register?

I guess that might be possible although I think they bought the property when they were still living in the UK - the land registry will only have their address at the time of purchase won't it?

That's awful. They should just give it back, why should it be up to the tenant to chase their money. Stupid system!

You are supposed to register your current address with the Land Registry, its not a legal requirement though.

I can see what the deposit scheme are saying - their rules are that landlord/agent must make a claim to them on all or some of the monies within 3 months of the tenancy ending. If one of the parties doesnt ask for it back, it automatically goes all to the other party. I dont expect there are many tenants who wouldnt ask for their money back, so I expect it works well in most cases. The schemes T&Cs you are sent initally say you must ask for it back and tells you how..

BUT, what is missing here is that presumably you had no contact from the Agent (within 10 days) to say they were deducting ie£100 or to say they were deducting nothing and how did you want it repaid. This is wrong. Ask the agent for those emails or letters.

And even if the Agent couldnt get hold of you, with DPS scheme they then need to go to a solicitor and sign an affadavidt saying they had tried all your contact details for I think 2 months and couldnt track you down. Only then would the DPS hand over the deposit. Without this the deposit wouldnt be refunded to anyone - ever.

So, although you are outside the timescales for asking the Scheme to refund it, the Agents seem to have misled the Scheme. So, I would carry on at the Agents to ask them where their paperwork is proving they tried to contact you.

If they cant provide this, then you can still make a small claim against the Agent, just for the deposit amount. Its easy and costs £30ish.

The scheme never had the deposit money.

According to their records, it was with the letting agent at all times.

The letting agent says they never held it, it was held by the landlord.

I was never made aware of this.

No one wrote to me at the end of the tenancy. I was never told any of the deposit was withheld. I never got any correspondence nor any of the money back.

I'd be threatening small claims on the agent then. They were the people you paid the deposit to, therefore they are responsible for getting it back. Given that the LL lives out of the country and they are acting on his behalf, I'd be pursuing them. After all as professionals they know that you deposit is supposed to be protected.

Definitely speak to CAB.

You said the deposit scheme said it was registered - some schemes allow the landlord or agent to physically hold it (DPS insurance I think) , it doesnt matter particularly - its the registering of it that means it comes under that particular scheme and its rules.

You should have had paperwork either written in the contract, or seperately within 10 days after it started saying your deposit of £x was registered with ie DPS and these were the rules and how to get it back.

Unfortunately not enough tenants know their rights and realise how important this is and keep it safe.

So, as deposit WAS registered you have no claim there, and as the time limits expired for claiming it, you have no claim there.

But what is obvious is that the scheme must have received evidence from the Agent that you had disappeared - or they would not have just closed the deposit file. not even after 3 months.

So, as I said above, I think your best course of action is to keep on at the Agents for copies of the paperwork they must have told ieDPS that they sent you.

It will be like banging your head against a wall, but the Agents shouldnt be able to get away with this.

The deposit is YOUR money and had to be protected in a registered scheme. You also needed to be served the Prescribed Information which is details of where your deposit is protected, certificate etc. Otherwise the landlord can be fined 1-3x the amount of the original deposit.

I'm no expert but that time limit also seems ridiculous and not sure if it's legal. Hopefully someone else can confirm.

Oops someone has already

Was it TDS? Their rules say although they wont adjudicate after 3 months the matter can be taken to court up to 6 years later.
www.tenancydepositscheme.com/resources/files/I%20can't%20contact%20one%20of%20the%20parties%20at%20the%20end%20of%20the%20tenancy.pdf

DPS - will only allow Agents to physically hold it if they are members of these associations - RICS, ARLA, NAEA, NALS, UKALA or The Law Society. So find out if they are and complain to them. They only mention the 3 month rule. Here are their rules: www.depositprotection.com/documents/terms-and-conditions-insured.pdf

MyDeposits dont have an insurance scheme so assume it wasnt them.

Letting agents have eventually replied. That are basically saying it's between me and landlord, I'll need to take it up with them. They are still saying they didn't hold the deposit (contrary to what the scheme say) it was always with the landlord, basically that they know nothing about it.