Interest On My Deposit Return...?

[chrisuk013]

when i moved into my rented property i paid a 550 deposit, i read somewhere that deposits over 500 pounds accumulate interest...

What rate of interest does the deposit accumulatter?, and how much will i get back once the interest has been calculated?

Thanks....

[CheekyChops]

You won't get anyt interest. See this:

Question
The deposit on my flat was over �900. I had the money in a high interest account and I'd like the agency to put it into an interest earning account so that I don't lose out whilst they've got my money. They're refusing to do this. Can I make them put the money into a different account?

Answer
By law your landlord, rather than your letting agent, is responsible for your deposit. You could discuss this issue with your landlord but they are not under any legal obligation to comply with your wishes. If they do agree, it's important you get any agreement in writing, and a receipt for the amount paid.

If you pay rent through an agency and you don't have your landlord's details you're entitled to know their name and address. If you request these details in writing, your letting agency has a legal duty to supply this information within 21 days.

[R1Man]

Interest?? You'e having a laugh, it's pretty rare to get your deposit back at all let alone interest. Is it through an agency? Pound to a penny they'll do their best to contrive a way to keep your deposit.

[chrisuk013]

the letting agent has always done her best to fob me off and not give me any contact details for the owner of this property, what law should i be quoting when requesting the owners contact details? Also any useful website links wuld be great....

[Twenty20]

There's a bit more to it than the previous two answers. Whether you get interest on the deposit will depend on two things.

Firstly, if your tenancy agreement was signed before 6 April 2007 then you will probably only get interest if it states that you will in the tenancy agreement. Check your agreement. To be honest, most agreements wont cover this and so you wont get interest.

If you signed after 6 April 2007 then it's very probable that your deposit will gain interest because it will, by law, have to be held in an approved deposit protection scheme and most of these will pay interest. The rate you get will be quite low as interest gained on the deposits is used to run the free schemes.

Contrary to R1Man's comment, most deposits are actually returned in full - 70% of all deposits are returned with no deductions. Only 11% of deposits are not returned at all - and this can be for a variety of reasons (damage to the property, unpaid bills or rent, or indeed greed by the LL).

Hope this helps.

[Twenty20]

To answer your last question, you as the tenant are entitled to be given the LL's address under the Landlord & Tenant Act 1985. This is a legal requirement. You should make your request in writing, quoting the Act, and giving 21 days to receive the reply (this is the time stipulated in the Act).

Of course, the address given does not have to be the home address of the LL but a contact address.

Ultimately, you are not obliged to pay rent if no address is forthcoming after 21 days - though I would advise against this unless you wish to receive a s21 Notice (eviction notice).

The above only applies if you are still the tenant in the property and have not vacated.