Frequently Asked Questions - Landlords & Agents

• Deposit protection
  • How do I protect a tenancy deposit?

    To start you need to become a member of TDS Northern Ireland. You can do this online and there is no joining fee.

    There are two ways to protect, custodial and insured. 

    Insured: You hold the deposit

    Register the deposit and hold the money in a UK bank account. There is a small fee, but protection is confirmed immediately and you don't need to involve us again unless you have a dispute. 

     

    Custodial: We hold the deposit

    Register the deposit and transfer the money to us. We confirm protection once we receive the money, and it is backdated to when the payment was made. You or the lead tenant need to submit a request for repayment at the end of the tenancy. 

    Click here to join

  • Which deposits must be protected?

    Any deposit on a private tenancy received on or after 1 April 2013 must be protected in a government approved scheme.

  • Who is responsible for protecting the deposit?

    The legal responsibility is with the landlord to protect the deposit. 

  • How does TDS Northern Ireland actually protect deposits?

    Insured protection: The landlord or agent holds the deposit and we have insurance covering it. If the landlord or agent fails to pay money that they owe, we can refund the tenant and claim it from our insurance. We pursue landlords separately to recover money that they owe. 

    Custodial protection: We hold the deposit in a designated account. We only release the funds when both parties give consent; when a TDS NI adjudicator makes an award following a dispute; or when ordered by a Court. 

    Both forms of protection include free dispute resolution, whereby the tenant can refer a disagreement over the repayment of the deposit to us for impartial adjudication. Both parties must agree to be bound by the adjudicator's decision

  • What do I need to do when I receive a tenancy deposit?

    Within 28 days [on or after the 1 April 2023] of receipt you must register the deposit in an approved scheme such as TDS Northern Ireland. Within 35 days [on or after the 1 April 2023] of receipt you must provide the tenant with details of the protection, called prescribed information. 

  • What is prescribed information?

    It is written details of the deposit protection, including an information leaflet from the scheme, which must be given to the tenant within 35 days of the landlord or agent receiving the deposit. 

    When protecting online, a form with prescribed information will be automatically generated for your convenience. However it is your responsibility to ensure the information is correct and that it is given to the tenant within 35 days.

     

  • Can I protect by post?

    Protecting online is the quickest and easiest way to protect. 

    If this is not possible please contact us directly and we can assist with paper forms. Please note that this will delay the time it takes to protect so must be done as soon as possible after receiving the deposit. 

  • What permissions do different kinds of user have in a letting agent account?

    If you are a letting agent you can perform different tasks in your company's account depending on your user profile.

    Here is a table of the different the different user profiles and the tasks they can perform. 

    	Administrator (Head Office)	Branch/ Account Administrator	Tenancy/ Property  Administrator	Dispute  Administrator	Finance  Administrator
    Protect deposits	✔	✔	✔
    End deposit protection	✔	✔	✔	✔
    Download Prescribed Information	✔	✔	✔	✔	✔
    View deposits	✔	✔	✔	✔	✔
    Manage properties	✔	✔	✔	✔
    Request repayment (custodial)	✔	✔	✔	✔
    Respond to repayment request (custodial)	✔	✔	✔	✔
    Raise a dispute	✔	✔		✔
    Add and edit users	✔	✔
    Add and edit branches	✔

• End of tenancy
  • Does deposit protection end automatically?

    Insured:  Yes. If you do not inform us otherwise, we will assume the tenancy has ended on the expected end date given when you protected the deposit, and protection will end. If the tenancy is going to renew or continue periodically you must update the database for the deposit to continue being protected.

    Custodial: No. The deposit remains protected for as long as it is held by TDS Northern Ireland

  • What should I do if the tenancy becomes periodic?

    In the insured scheme, if it continues as a statutory periodic tenancy with no material changes to the agreement (such as rent or tenants) please login before the end of the fixed term and mark the 'tenancy outcome' as periodic. Protection will continue with no additional cost. 

    If there have been material changes to the tenancy agreement you should end the protection and register the deposit again. 

    In the custodial scheme no action is needed. 

     

  • What if the tenancy renews with a new fixed term?

    If protected with the insured scheme, you need to protect the deposit afresh. In the 'tenancy outcome' section select 'renew' and you will be able to protect the deposit again. 

    No action is needed if the deposit is protected with the custodial scheme. 

• Rules and regulations
  • What are the penalties for violating deposit protection law?

    The District Council can impose a fixed penalty of up to three times the value of the deposit. 

    If the case goes to court the landlord can be fined up to £20,000 by the Magistrates Court. The landlord cannot be prosecuted if he or she paid the fixed penalty imposed by the district council.

  • Who is responsible for protecting the deposit?

    The legal responsibility to protect is with the landlord.

  • Can I take a deposit that isn't money?

    No. Under Article 5B (7) of the 2006 Private Tenancies Order, a landlord may only require a deposit in money. 

  • When did deposit protection begin?

    1 April 2013. Any deposits taken on or after that date must be protected.

  • I took a deposit before 1 April 2013 and the tenancy has since renewed. Do I need to protect?

    If you entered into a new fixed term agreement with your tenants after 1 April 2013, yes. As a new agreement it is considered a new deposit. It must be protected within 14 days of the agreement being entered in to. 

    If the tenancy continued on a statutory periodic basis it does not need to be protected. 

  • Important changes from 1 April 2023

    Important changes from 1 April 2023: The law changes in Northern Ireland from 1 April 2023. On or after that date landlords must protect their deposit within 28 days of receipt [up from the previous 14 days] and supply the Prescribed written information with 35 days [previously 28 days] of receipt of the deposit. Failure to protect the deposit within the statutory timetable is a continuing offence.

     

    • It is now a requirement for a landlord to provide a written receipt for any payment made in cash in relation to a tenancy.
    • A landlord cannot ask for or retain a tenancy deposit that is more than or equivalent to one month’s rent.