#AskTDS: "How does tenancy deposit protection work?"

Moving away from home for the first time or taking on a new flat for the next academic year can be an exciting time for any student. Many will rent flats privately and have to pay the landlord a sizeable tenancy deposit, but do student tenants (and parents who may fund deposits) know what happens with their money?

Unfortunately not, despite it being a legal requirement since 2013. Tenancy deposit protection is designed to protect tenants’ deposits from being misused and provide a dispute resolution service in the case of disagreements at the end of the tenancy. 

For first time renters, including students, we recommend asking three simple questions about your tenancy deposit:

1.     Where has my money gone?

The regulations on tenancy deposits are different in England, Wales and Northern Ireland, so it’s important to make sure your landlord is using your deposit properly. A law-abiding landlord for a property in Northern Ireland will often ask for a tenancy deposit that is between one month and six weeks’ rent before the contract starts. This is taken to protect them against potential late rent payments, damage to the property or issues they discover once you’ve moved out.

Your landlord then has to protect your deposit to a government-approved scheme, like TDS NI, within 14 days of your tenancy starting where it can’t be touched until you move out. You should receive an email from the landlord and the tenancy deposit protection scheme to let you know that your money has been protected. If you haven’t received it, you can also contact TDS or the other providers directly. 

2.   How do I get my money back?

At the end of the tenancy, you’re going to want to get your money back so you’ll need to meet the conditions set out in the tenancy agreement you signed when you first moved in.

It will likely require you to return the property in the same condition and as clean as it was at the start of the lease. If the landlord is satisfied with how you’ve left your accommodation, you’ll get your full deposit back. 

However, if they think that damage (beyond fair wear-and-tear) has happened during your tenancy or if there is an issue with its cleanliness, they can request a deduction from your deposit for the cost to reinstate the property to its original state.

If the landlord and tenant are happy that the property has been returned in a clean, undamaged state, as required in the tenancy agreement, the deposit should be repaid within ten working days of agreement (for the Insured scheme). 

3.     What do I do if I disagree with my landlord’s deductions from my deposit?

While the majority of tenancies end in agreement between tenants and landlords regarding deductions from deposits, there are some cases where the sum is disputed.

In cases where a landlord wants to make a deduction from the deposit but you think the claim is unfounded, or unreasonably high – for example – you can use TDSNI’s free, impartial adjudication service.

Our independent adjudicators will look at the evidence submitted to them to make a decision on who the deposit should be returned to. They look at evidence such as the tenancy agreement, inventory report from the start of the tenancy and the check-out report. If you are going to dispute any deduction claims, you should be prepared to provide further evidence including photographs or invoices.

Tenancy deposits can seem complicated at times, but if you know your rights and responsibilities, the system is straightforward to navigate and designed to be fair to all parties involved. TDSNI provides a wealth of information for tenants through guides and forms, which you can find here.

By asking themselves the questions above, we hope to help even more student tenancies run smoothly. 

About the Author:

Eamonn has over 13 years in estate agency experience dealing with residential lettings, sales, and management. He joined TDS Northern Ireland in April 2013 with the scope to promote and provide a leading tenancy deposit protection scheme. 

Based in the Belfast office, Eamonn provides a direct contact point for customers.

About TDSNI: 

Tenancy Deposit Scheme Northern Ireland (TDSNI) is a government-approved scheme for the protection of tenancy deposits; TDSNI offers both Insured and Custodial protection and also provides fair adjudication for disputes that arise over the tenancy deposits that we protect.

TDSNI Insured Scheme: where a TDSNI member can hold the tenancy deposits as stakeholder during the term of the tenancy.

TDSNI Custodial Scheme: where TDSNI hold the deposit for the duration of the tenancy.

TDSNI Academy: TDSNI provides property professionals with invaluable training in tenancy deposit protection and tenancy deposit disputes.

TDSNI 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.