Hi, at what stage is a holding deposit (to secure a rental property) considered, by law, to have been paid? Is it at the point that the prospective tenant transfers the money (in this case to an estate agent) or once the prospective tenant has signed the holding deposit receipt? The money was transferred before the holding deposit was sent and received by the prospective tenant and the receipt was signed 3 days later. Is the answer when the money was transferred (I.e. ‘day 1’) or when the receipt was signed (I.e. day 3)? Many thanks
If they don’t receive a receipt they have still paid the deposit, so the actual day it was paid is the answer.
The legislation says that the period begins “with the day on which the landlord or letting agent receives the holding deposit.”, (meaning the money).
Thanks David, that’s helpful. Do you know which section of which legislation that comes from please?
All the best
Jessica
Yes, its the Tenant Fees Act 2019, schedule 2, 2(1).