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Hi. I have a slightly complicated issue to discuss and would like the best possible advice. I am a private landlord and realised after my tenants moved out and asked for their protection details that I failed to register their deposit. Unbelievably stupid mistake, agree, total disaster! Genuinely this one slipped through the net...I have rented out previously and always registered immediately, i have proof that this money was never used. Throughout the tenancy, I was a very friendly, responsive and helpful landlord. And we always had a friendly/professional relationship. 

Tenants caused damages to the property (there was an inventory report), the flat had a lot of cleaning issues to be addressed, repairs to be done, damages to the furniture. Throughout the whole process, i was very amicable with them. They didn't agree to pay the full amount and offered £600 when we met face to face. When I agreed because I wanted to be over with this, they offered a new price of 400 in writing. They have also made some ridiculous arguments suggesting me to do the repair work myself and replacing items for much cheaper alternatives. I was willing to negotiate...then they say they want to use the deposit resolution service and how is their deposit registered...and to my horror, I find out it wasn't....  But now i understand because i failed to register their deposit, i am not in a good situation even if they agreed to pay £400 in writing. They are asking for their deposit registration details. What should I do? Are their any ways to recover 600 they agreed to pay? Is it too risky to deduct it from their deposit 400 or 600 considering my failure to register it? Any chance to reach an agreement? One of the tenants is very friendly but the other one is studying to be a lawyer....

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How long were your tenants there? 

Did you have an inventory agreed when they moved in i.e. signed by all the parties?

Did you include the rental income on your uk tax return?



Edited by Flopsy
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On 09/05/2019 at 16:34, Nara said:

One of the tenants is very friendly but the other one is studying to be a lawyer....

For the sake of a few 100 quid, it would probably be cheaper in the long run if you just give them the deposit back in full and pay to fix the problems yourself. Sometimes you make mistakes and it leaves you out of pocket, and you need to suck it up and move on.

You don't want it going to court because you've broken the law by not putting their deposit in the deposit protection scheme.

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  • 434 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?

      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%

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