How Long Does A Landlord Have To Return A Deposit?

Renting a property comes with various responsibilities for both the tenant and the landlord. One main aspect of renting is the handling of the deposit.

Understanding your rights as a tenant, particularly regarding how long a landlord has to return a deposit, is crucial to ensuring that you receive your money back in a timely manner.

Our panel of commercial law solicitors are experts in assisting clients with tenancy disputes, including regarding the return or dispute of their deposit. If you would like more information on any of our services, then please do not hesitate to get in touch with our team today.

Deposits when you rent

If you rent a property under the Assured Shorthold Tenancy that started on or after April 6, 2007, the landlord or letting agent typically requires a security deposit. This deposit is meant to cover any potential damages or unpaid rent at the end of your tenancy.

The law requires the landlord to protect your deposit in a government-approved scheme within 30 days of receiving it. These schemes include both custodial and insured schemes.

The purpose of these tenancy deposit protection schemes is to ensure that tenants can recover their deposit at the end of the tenancy, provided there are no valid deductions.

Before you leave the property

Before you move out of the property, it’s essential to ensure that you meet all the obligations outlined in your tenancy agreement. This includes paying all outstanding rent, properly cleaning the property, and repairing any damages that may have occurred during your tenancy.

Doing so reduces the likelihood of disputes and ensures a smoother process for getting your deposit returned. It’s also a good idea to document the condition of the property when you leave, as this can be valuable if a dispute arises later.

Can landlords take money from your deposit?

In short, yes, landlords can make deductions from your deposit, but only for specific reasons outlined in the tenancy agreement.

Common deductions include unpaid rent, damage to the property beyond normal wear and tear, and cleaning costs if the property is not left in a satisfactory condition.

However, these deductions must be reasonable, and the landlord must provide evidence, such as receipts or quotes, to justify the costs.

Disputes over the deposit

If you believe that your landlord has made unfair deductions or has not returned your deposit within the required time frame, you have the right to raise a dispute. If your tenancy deposit is protected under an approved tenancy deposit scheme, you can use the scheme’s alternative dispute resolution service to resolve the issue. The process is free and impartial, and the scheme will hold your deposit until the dispute is settled.

There are two main types of tenancy deposit protection schemes: custodial and insurance-based.

In a custodial scheme, the landlord holds your deposit in a government-approved scheme, and the money is held in a secure account until the tenancy ends. In an insurance-based scheme, the landlord or letting agent retains the deposit but must pay a fee to the scheme as insurance. In either case, if there is a dispute, the deposit is held by the scheme until the matter is resolved.

How long does a landlord have to return a deposit?

A landlord has ten days to return your deposit once you both agree on the amount to be returned. This period applies whether your deposit was held in a custodial scheme or an insured scheme. If the landlord fails to return the deposit within this time frame, you should contact the tenancy deposit protection scheme holding your deposit for assistance.

How can Expert Commercial Law help?

When dealing with a tenancy deposit dispute, it is important to seek expert legal advice and assistance. A litigation team can ensure the right approach is being taken and that applications are being made correctly. Having expert legal advice can improve your chances of successfully receiving your deposit back from the landlord.

Please note we are not a firm of solicitors. Most of the solicitors on our panel provide no win, no fee claims. If you contact us in relation to a commercial law case, we will pass your case on to a panel firm in return for a fee from our panel firms. We will never charge you for passing on your case to a panel firm.

Each solicitor is vetted before being allowed onto our panel, and we only select the best in the business. All of our solicitor firms are authorised and regulated by the Solicitors Regulation Authority (SRA).

Our panel solicitors also help with commercial claims, such as breach of contract, winding up proceedings and statutory demands.

Please get in touch with a member of our team today using the form below to speak to a solicitor on our panel.