The AST agreement routinely includes the payment of a refundable deposit (usually equivalent to four weeks’ rent) by the tenant, and stipulates the conditions under which this is paid and held.
From 6 April 2007, Tenancy Agreement Deposit Protection was introduced. This new scheme applies to all ASTs in England and Wales where a refundable deposit is paid. Its primary purpose is to protect the tenant by guaranteeing that his deposit will be returned in the appropriate circumstances. It will also benefit both tenant and landlord by encouraging them to have in place, from the beginning of the tenancy, an unambiguous and documented agreement as to the property’s condition
With thanks to BuyAssociation.
