Credit Searches - ADVICE NEEDED!

[rach_vicky]

Ok here goes!!

Me and my partner are relocating, we found a fantastic house and put down a deposit of 100 to secure the house. The day after we did this the woman from the Letting Agents called to say that we had failed the credit checks and they were not willing to proceed with our application. She said that she would send us 60 back but was keeping 40 of our deposit to pay for the credit checks.

At first we were gutted, we received the 60 cheque put it in the bank and went back to our house search. However then it suddenly dawned on me that this should not have happened.

Tell me if i am wrong but i was under the impression we had to give permission for a credit check?? In this case we were not even told a credit check was going to be carried out at this point! We also never filled out any forms or signed anything to give permission.

Is the Letting Agents wrong to do this? Can we get our 40 back?


I have wrote the letting agent asking for our 40 back but as yet we have not heard anything.

Please advise me

[Mark_Blackpool]

I believe yes, you do have to be notified that a credit check will be carried out, and agree to this, which is normally your payment which is permission to proceed.

Credit checks are a normal part of tenancy checking and pretty standard across all letting agencies.

You may be able to secure the tenancy if you agree to pay a larger deposit - for instance, on an assured shorthold tenancy of six months you normally pay one month's deposit so if you offered three months deposit and the usual month's rent up-front then the 'risk' is mitigated.

[rach_vicky]

Thanks for the reply Mark, but we offered the world but they still refused us!! We have been renting for 2 years and are aware of the ins and outs of tenancy agreements and bonds etc.

My question is about the credit checks, we did not give permisson and i need to know if what they have done is wrong. All we did was put down a 100 deposit to secure the house, we were told this would be deducted from the first months rent, we did not fill out any forms, or sign any documents!

I feel like we have been treated really badly! Some people would say it is only 40, but for me it is the principle of the matter!!!

We have since this secured a property, which is higher in rent!! So there can't be that much of a problem with us!!