#AskTDS: “Do I have to re-register my deposits every year?”
This article has been written in response to a landlord’s query: “Do I have to re-register my deposits every year?”
Landlords who are members of the TDS Insured scheme pay a deposit protection charge for each deposit they protect. This charge covers the whole of a fixed term tenancy and any statutory periodic tenancy that follows it, as long as there are no material changes to the terms. In other words – one charge for the life of the tenancy.
In the Insured scheme, a new deposit protection charge is payable if:
- there is a material change in the terms during a fixed term tenancy or during a periodic tenancy, or
- the terms of a periodic tenancy are materially different from the terms of a preceding fixed term tenancy (e.g. change to the amount of the deposit or a change in the parties), or
- a fixed term tenancy is renewed, even if the renewal is on the same terms as the previous tenancy.
For those tenancies that ‘roll over’ into a periodic tenancy, without any substantive changes, there is no need to re-register the deposit at the end of the fixed term. There is also no need to pay another charge.
There is no charge to register and protect deposits with the TDS Custodial scheme. In this case, deposits are protected until either party notifies us that the tenancy has come to the end. There is also no requirement to inform TDS if a new tenancy agreement is signed as long as the terms remain unchanged and the deposit amount remains the same.
However, if there is a change in circumstances, with a change of tenant(s) for example, landlords would have to notify TDS and re-protect the deposit. We have straightforward processes in place for dealing with these changes.
It’s quick and easy to register deposits with us, and unless things have changed with a tenancy, there is no need to re-protect or pay additional fees. Quick and easy deposit protection – it's what TDS is here for.
About the author:
Michael is the Tenancy Deposit Scheme’s Director of Dispute Resolution. Having trained as a solicitor, Michael has been involved in dispute resolution for over 20 years. His previous roles have included leading the consumer advice service for Hertfordshire Trading Standards; Michael was also the Chief Conciliation Officer for Qualitas, the Furniture Ombudsman, where he took a formative role in its transition to Ombudsman status.
Michael joined TDS in 2006 as a Deputy Independent Case Examiner. He is now responsible for the overall management of its dispute resolution services and the quality of its adjudication functions. Michael has also led a number of key ‘behind the scenes’ innovations at TDS.
Michael has been selected as a judge for the UK Complaint Handling Awards 2017 complaintsawards.co.uk
Tenancy Deposit Scheme (TDS) is a government approved scheme for the protection of tenancy deposits; TDS offers both Insured and Custodial protection and also provides fair adjudication for disputes that arise over the tenancy deposits that we protect.
We provide invaluable training in tenancy deposit protection and disputes for agents and landlords through the TDS Academy as well as joining with MOL to provide the Technical Award in Residential Tenancy Deposits.
TDS Insured Scheme: where a TDS member can hold the tenancy deposits as stakeholder during the term of the tenancy.
TDS Custodial Scheme: where TDS hold the deposit for the duration of the tenancy.
TDS Academy: TDS provides property professionals with invaluable training in tenancy deposit protection and tenancy deposit disputes.
TDS can only comment on the process for our scheme, other deposit protection schemes may have a different process/require different steps. Content is correct at the time of writing.
These views are those of the author alone and do not necessarily reflect the view of TDS, its officers and employees.