What if deposit was paid before 6th April 2007?

[Mr_Joe]

Hi,

 

I am one of renting a house. The contract started on 1st July but the deposit was paid before 6th April 2007. Is my deposit still protected under the new scheme?

[Planner]

The key date is when the AST begins, not when the deposit is taken. Therefore your deposit should be protectected within 14 days of the start of your AST or reipt of the deposit (if thats later).

[Mr_Joe]

Sorry whats an AST?

[Planner]

AST = Assured Shorthold Tenancy. Tenancy Deposit Schemes only apply to AST contracts (which most are).

[Mr_Joe]

Ok so does that mean as my contract started on 1st July I am under the new scheme, even though my deposit was paid before 6th April 2007?

[Lula]

YEs

[Joa]

One of my colleagues has taken some legal advice and spoken with a colleague who has had some involvement in the new legislation and both views are that the legislation is clear in that deposits only have to be protected if taken after 6 April 07. She has spoken with two of the schemes operators and they are adamant that deposits paid prior to April 07 do not have to be protected

We were given this example:

Students - Housing - Communities and Local Government

A student has paid a full deposit before 6 April 2007 (eg in March) for an AST starting after 6 April 2007 (eg in September 2007). Will the deposit need to be protected under an authorised scheme and, if so, at what point?

 

No. A tenancy deposit taken before 6 April 2007 will not be required to be held under an authorised scheme.

 

I am not sure myself, as the legislation consistently refers to "deposit paid", as in paid at all, no matter when but with regards to AST ade or agreed on or after 06/04/07

[Mr_Joe]

A student has paid a full deposit before 6 April 2007 (eg in March) for an AST starting after 6 April 2007 (eg in September 2007). Will the deposit need to be protected under an authorised scheme and, if so, at what point?

 

No. A tenancy deposit taken before 6 April 2007 will not be required to be held under an authorised scheme.

 

Hmmm so according to this I am not protected whereas Planner thinks I am.

 

The key date is when the AST begins, not when the deposit is taken. Therefore your deposit should be protectected within 14 days of the start of your AST or reipt of the deposit (if thats later).

 

Planner are you sure about this? Is there any chance you could post the relevant legal writing that states this?

 

Thank you all for your replies

[Planner]

I stand corrected!

[Mr_Joe]

Ok cheers for your help guys,