Tenants have not paid final months rent

My tenants have decided to leave using the six month break clause.

They have not paid the final months rent. However, they have paid the additional two weeks rent. It seems they expect me to take the deposit as the final months rental

This does not leave me any money to use for end of tenancy cleaning, damages, and removal of anything they leave behind which they intend to do as they are returning abroad.

Deposit cannot be used against final month’s rent without your explicit approval. This always a bad idea as you have highlighted above. Best to sort with them asap as once they leave the UK, getting anything further from them will be either impossible or extremely difficult + costly.

Thank you Nilesh.

‘My deposits’ ask permission from the tenants to allow the landlord to retain the deposit but they can still choose to agree or not agree….

Fiona, if you can prove that your TT didn’t pay the last month’s rent, adjudicator should rule in your favour. At least, that’s what happened to us.

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Thank you Tim.

I have written to both tenants outlining the process that the rent should be paid in full and then they receive their deposit from ‘My Deposits)

No reply thus far. Not helped by the fact that I’m out if the country arriving one day before the handover.

Just take the money from the deposit and add on any costs and let it ride. After three months just tell my deposits deduction has been agreed. My deposits are a bit of a joke really they will always give money back to tenant where they can


I am having to go to court and get a judgement to claim on the deposit because the tenant didnt agree to DPS adjudicating because he knew he would loose. Another waste of my time and money, stupid system in favour of tenants AGAIN !.
Never gonna use dps or other again gonna keep the deposit and insure it for a few quid, keep control everyone.

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Thank you Leslie.
I have to say I am inclined to do the same.

Hi Fiona, you can claim with DPS for the deposit amount stating that it’s against rent arrears. The tenants have learned the new trick whereby they hold less than 2 months rent and escape as they know that the Landlord will not be able to claim the money via section 8. The route of small claims is useless as it takes ages to get the judgement and also the CCJ is not guarantee that you will get the money from your tenant.

Is it allowed, though? I thought that you have to protect the deposit in one of deposit protection schemes by law?

Thank you Grishma. It seems we are ay the mercy of the tenants and the system… u guess I am fortunate that this has been my first experience of having these concerns.

Tim to clarify you can either give these bodies the money to keep OR pay an insurance and you keep the money. There are three bodies my deposits - worse than useless; dps- up their own backside and just useless and tds - best of bad lot

You will still need to use them, you will need to pay them the insurance fee. It won’t change anything though as you would still owe the money if they ruled against you.

Not only that you end up paying the fee repeatedly.

I did it this way for a while but realised it was money in the bin. I suppose now would fair better than before with higher interest rates on savings.

That’s interesting, never heard of insurance for T deposit. Is ti high? Also, do you mind explaining why TDS is the least of evils? We’ve always been with DPS and, thought they’re more in favour of T, they’re not completely useless. We managed to get some deposit money from them.

My tenants deposit was with DPS - agent photographed and video of damage to my property = 2.4K just for damage + replacement + independent assessor report. DPS ruled in their favour… I got £75…which didnt even cover the cleaning bill. My agent was furious as was I
My ex tenant owes HMRC 8K +…so have forwarded the new address to HMRC snoop squad = Karma
Old deposit people via OR were much fairer to both sides IMO.

I think it’s about £25 to go insurance route which I prefer. I have used all 3 when we had about 38 rentals and I find them all biased towards tenants but accept that is a subjective personal opinion
You think about it for £25 you are not going to get an in depth review and it’s just pin money for maybe a student who is looking to go out for a pint so they will glance over pay at any unpaid rent and as for damages unlikely you get anything. It’s a nonsense system really thank Tony Blair

You have the choice of putting the full deposit or pay a small insurance fee, google insured deposit scheme, TDS do it.

If they rule against me so what. The money is in my pocket, they would have to take me to court instead of me taking them. Boot is now on the other foot.

What is annoying to me is that in this instance I am in, they would clearly rule in my favour, but I have to go to court to get an order because the tenant is being difficult.

So I will give this a try, because the law is an ass and does nothing for us LL

It doesn’t look like that’s how it works. I proposed your scenario on NRLA forum and that is the reply:
N, thank you for your input, but I’m afraid I either misunderstood or the process you described is incorrect.
The scheme you referring to is called insurance, which you rightly point out. This is when LL holds the money in their bank account. However as soon as a dispute is raised the whole amount has to be placed in TDS account for a duration of a dispute. Once a decision is made an adjudicator then allocates the money in a decided ratio. I’m afraid there is no way around it.
Sowhen I decided to challenge an adjudicator decision, I was 45% out of pocket and having to pay a court fee.

So, you don’t keep your deposit with you during the adjudication. Looks like you have been misinformed. And if you’re legally obliged to part with your deposit but won’t do it, I’m sure there will be consequences for you because Deposit Sceme will just bring you to court for it.
The topic in question is called Small claim court SUCCESSFUL and is on NRLA forum.

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Leslie1, really grateful for this info, thank you. It also looks like people can bring the skewed adjudicator’s verdict for Small Claims Court’s consideration with positive results. The quote below is from a post on NRLA forum:

Hi comrades!

A few months ago I posted a “sticky” regarding My deposits scheme awareding my weed smoking tenant 45% of his deposit. I went through an appeal process, no joy and eventually decided to take the organisation to the small claim court.

Absolutely thrilled to announce that a judge awarded me the full amount with court fees and interest.
posting this just in case someone in a similar situation and perhaps in need in some friendly advice.

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