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Interest accruing on Deposit/Bond


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Just a quick question. I'm about to sign for a tenancy on a cottage, and in the agreement it states that any interest that accrues on the bond belong to the 'agent' (I'm assuming the letting agent). Is this correct? I was under the impression that the interest was also repaid to the tenant at the end of the tenancy?

 

Thanks in advance for your answers.

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Thanks Aequitus - by saying it's neither correct nor incorrect, am I right in thinking there's no legislation stating what should happen, but it's not unusual for the agent to take the interest?

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Thanks Aequitus - by saying it's neither correct nor incorrect, am I right in thinking there's no legislation stating what should happen, but it's not unusual for the agent to take the interest?

 

Yes.

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That's very true Planner, but I'm planning on staying in this property for some considerable time, it would be nice if my £750 had an equivalent value when I did eventually get it back. Can't have everything I guess. :-)

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That's very true Planner, but I'm planning on staying in this property for some considerable time, it would be nice if my £750 had an equivalent value when I did eventually get it back. Can't have everything I guess. :-)
If it makes you any happier - most agents ues "MyDeposits" or "TDS" which are insurance based schemes and they have to pay around £15 per year per deposit. The amount varies depending on the amount and the agents size and claim history.
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- unlike my Mum's; her landlord still hasn't protected hers 15 months after taking out the tenancy. :(

 

Then she should get it protected or refunded - this letter has worked for several people:

 

http://www.consumeractiongroup.co.uk/forum/residential-commercial-lettings/232265-trouble-landlord-deposit.html#post2576374

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