The purpose of the security deposit is to protect the landlord against loss of rent or damage to the property during the tenancy.
Under the Housing Act 2004 the Government introduced tenancy deposit protection for all assured shorthold tenancies (ASTs) in England and Wales where a deposit is taken. Since 6 April 2012, deposits must be protected within 30 calendar days of receipt by the landlord.
On receipt of the security deposit we register it with The Deposit Protection Service (The DPS), which secures the funds with UK Government-approved banks.
Landlords, agents and tenants can all request repayment of a deposit at the end of a tenancy, jointly or independently, online or by calling The DPS on 0844 4727 000 for a paper form. When one party requests a repayment, the other confirms whether they agree by completing an acceptance form.
If a dispute arises and all parties agree, the case is referred to the Alternative Dispute Resolution Service (ADR) — a free, independent alternative to court, with adjudication by an independent qualified lawyer.