UK Landlord Forum / Life

We recently took on a new tenant (2nd Oct 2012) and they paid a deposit which we didn't register, as it soon became apparant that this was going to be a problem tenancy. Before the first rent was due (and before the obligatory 30 days) we had messages saying they would not be able to pay the rent on time. We accepted the excuses as we thought they were being honest, but decided to keep the deposit as OUR security. The excuses went on & on and we didn't get any money from them until Dec 14th, and then only 1 month. The excuses still kept coming until they finally said that if we agreed, they were leaving (and so in breach of the tenancy agreement, which was for 6 months) and could they use the deposit as the final rent payment. Wanting to get rid of them, we agreed, and they duly left at the end of Dec. We have now had a letter from an advice centre, saying that they were not sure if their deposit had been protected and if it was, we have to show evidence, and if not they can sue us for 3 x the amount. Surely, if the deposit has been given back (albeit in the form of paying rent arrears) they can't do this. Help!!!

the main thing is they have left. the onus is on them to take you to court to prove you didnt deposit the money so in all fairness let them carry on. it will cost them money to do it and is it really likely they can afford to do that. dont panic and negotiate or anything. they have to prove their case not you. the advice centre have no authority to get you to respond.  only a court can do that.
if it comes to court you could also say that you will counterclaim for all the missed rent!! but i would personally just ignore them.
just see what happens and dont panic

Thanks for that. I have sent a short email to the advice centre saying that I don't think they know the full story and to get clarification and also that the deposit was used for rent arrears. Let's see what comes back.