First timer on this platform. I have a property on the site. I have been contacted be a few tenants. I am looking to proceed with one of them and wanted to be clear what the term Holding Deposit versus normal one month’s Security Deposit is plus what are the conditions behind it.
Thanks
This might help explaining the Holding Deposit, The Holding Deposit is the equivalent of 1 weeks rent.
https://help.openrent.co.uk/hc/en-gb/articles/115001490632-How-will-the-holding-deposit-be-treated
OR take 1 week holding deposit which - if application is accepted after referencing and agreeing and signing an AST - goes towards 1st month’s rent. If tenant withdraws or is uncooperative or untruthful potentially LL can retain the holding deposit but normally it gets returned in full when AST doesn’t go ahead
Security deposit is to cover against eg damage or rent arrears during the tenancy and must be put in a govt approved scheme (OR do this). It is not to pay for final month’s rent
Google ‘Tenancy deposit protection gov uk’
Good luck