Tenancy Deposit

[deanp27]

A week ago we received a letter from Lloyds bank addressed to the current occupier so we opened it and it was to informed us that the property we are currently renting is being repossessed. The letter suggested that we seek legal advise on what will happen if the bank takes possession of the property.

 

The contract states that our deposit is covered by Tenancy Deposit Solutions Ltd so I called them today to ask what will happen to my deposit if the bank takes possession of the property. They said that the property in query was not protected by them. They asked me If I have a certificated which I don't.

 

I also know that the landlord was living here before renting the property to us so I do not know whether he has a buy to let mortgage or not, I also know that both he and his wife are in huge financial difficulties as all their mail is coming to us. We get visited by at least 3 different debt collection agencies every day who are looking for them, there were bailiffs who came to repossessed their car recently as well and the story goes on. So it is highly unlikely we will ever get our deposit back as I don't see him having the money to pay us back.

 

There are quite a few issues here so If anyone can advise on any of them I would really appreciate it.

 

Thanks

Edited April 15, 2009 by deanp27

[Planner]

How longs left on your contract? or are you now in the periodic?

[deanp27]

We have 4 months left on the contract.

[Planner]

Does the letter give a date for a possesion hearing?

[deanp27]

It's middle May but we have a black bin bag full of mail for them I do not think that the landlord knows anything yet.

[Planner]

Then I would write to you LL demanding that details of where the deposit is being protected are forwarded to you within 7 days. Make the noises about the x3 fine for non-complaince etc.

 

In the interim, I suggest that you now place your next rent payment in a ring fenced account (i.e. basic bacnk account that you use for nothing else) and inform your LL that until the outcome of the possesion hearing is known, you doubt that they are going to be able to fulfil their obligations under the contract and as a precaution you will keep the rent to one side until you know for sure.

 

Of course if they are struggling financially, this action could push them over the edge, but you have got to weigh this against the likleyhood of giving them money which you arent going to see the benifit of and are unlikley to be able to reclaim.

 

Start looking for somewhere else to live.