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Havent protected deposit but want to rectify issue

Started by 4eyes, October 17, 2016, 12:57:01 PM

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4eyes

Hi,
We are pretty new to being landlords.
Recently we have had a few issues with our tenant which meant we decided to ask them to leave. The assured tenancy agreement has expired so thought I would be relatively straight forward. They are currently refusing.
This is where I realised our mistake, we haven't put the deposit in a protection scheme!! It was an oversight / naivety on our part and not done intentionally. I realise that wouldn't stand up though.
I want to get things sorted so they are done properly.
If we gave them a new 6 month tenancy agreement and put the deposit in a protection scheme would that work? That way once the agreement expires in 6 months we could use section 21 if required?
Ideally we can get them agree to move out but failing that we would have let them stay for another 6 months?
Is there something we can do to say that we will give them another 6 months but then that's it?
Another option I have thought of would be offering them some compensation to move out? But what is the best way to do that?
We don't want to be harsh with our tenant and could live with them staying for a while but they are really hard work to deal with (pay late, part payments, cash when contract states bank transfer, aggressive etc). We just don't want to be stuck with them forever and need to get things set up correctly just in case.
Any advice would be appreciated.
Thanks in advance.
I have read a lot of your posts and they are great. Very helpful and informative.
Regards

Riptide

If the tenants aren't good I wouldn't be offering them another fixed term.  Doing so and protecting the deposit on the back of it will not fix the non protection issue.

Using the deposit to clear arrears, if agreed is some sort of remedy supposedly.

heavykarma

Your options are dependant on the tenant's level of information regarding the deposit.Does he know it was not protected? If he does,he sounds like the sort who will try to get you over a barrel.That said,I would not even consider letting him stay on one minute longer than necessary.Did you serve S.21,or just verbally request them to vacate? If you served 21,their refusal does not change the requirement to leave on the day specified.

4eyes

Thanks heavykarma  :)
The tenant isn't aware that the deposit isn't protected. Does that change things?
We have had a meeting with him and expressed our concerns. The payment issue is more of an inconvenience as he always pays just normally a week or so late and after  being chased. He has never been in arrears. We have agreed that going forward his mum is going to pay and he will pay her back.
We have checked the property and its immaculate, he is looking after it better than we would. We have decided that's just as important if not more than paying on time.
As it stands we are going to give him another 6 months but have said that payments need to be on time etc.
I'm going to protect the deposit and I feel that's the right thing to do, doesn't make sense to me not doing so now I'm fully aware of the issues.
What would your comments be on that? Am I leaving myself open for compensation by highlighting that it hasn't been protected previously?
We only gave a verbal instruction to leave? Didn't issue a section 21 because thought I couldn't due to deposit not being protected?
If after the next 6 months we decide not to renew and the deposit will have been protected (late) for this period. Could we issue a section 21?

heavykarma

I think some of the more knowledgeable people on the forum can answer better.I am not sure if you can now protect the deposit without some paperwork being sent to the tenant.I now use an agent,but when I used to do it myself,there was a sheet of info.  sent to them to keep. That does not mean he will realise he has the power to punish you financially,depends on how savvy he is. The fact that you issue Section 21 does not mean you have to act upon it,it can be cancelled if the circumstances change.I have read on here that it can be a good idea if you are giving a tenant a last chance to cooperate.It can save time to have it in place.I do hope he starts to play the game with you.You are not his Mummy! Good Luck. 

Hippogriff

Quote from: 4eyes on October 25, 2016, 04:22:03 PMI'm going to protect the deposit and I feel that's the right thing to do, doesn't make sense to me not doing so now I'm fully aware of the issues. What would your comments be on that? Am I leaving myself open for compensation by highlighting that it hasn't been protected previously?

Soooo... let me get this straight. Are you contemplating not leaving the deposit unprotected?

4eyes


Soooo... let me get this straight. Are you contemplating not leaving the deposit unprotected?
[/quote]


No Hippogriff, you can clearly see that I have said I'm going to protect the deposit as that is the right thing to do.

Anyway this is my last post, I'm sick of being judged. Some people seem to twist / pick up on certain parts of the posts. I made a mistake (or whatever else you want to call it) and I'm trying to rectify it. My tenant has also made mistakes and I have been very forgiving.

THE DEPOSIT WILL BE PROTECTED - if there are consequences I will obviously deal with them as a result of my stupidity.

Thank you for all the helpful comments.

So long Hippogriff & Riptide  8)

Hippogriff

Somehow I bet you don't. All you've attempted here has amounted to trying to find ways of avoiding the issue.

You're only being judged because you've broken the law... and you've admitted that... you claim to have good intentions, but you've still not done anything about it, hur? Best spend a few days, weeks or months just making sure that you want to do the right thing, hur? I mean, if there's a way that you can avoid it - best to take that, right?

I'm sick of 'Landlords' coming onto forums who've not protected deposits and not immediately rectifying the situation... I mean, the law has only been around for a decade. I mean, you can still protest ignorance... but only if you're a numptie. You carry on being a pretend Landlord, no-one will catch you out.