Frequently Asked Questions - Tenants

• Rules and regulations
  • Does TDS enforce deposit protection law?

    No. We are a private company approved by the Department for Communities and Government DCLG) providing deposit protection and dispute resolution.

    If tenant believes the landlord has not complied with their obligation to protect a tenancy deposit, the tennat may raise an action against their landlord for non-compliance through the courts.

• Deposit protection
  • What is a tenancy deposit?

    A tenancy deposit is money paid by a tenant to their landlord. It is held as security in case the tenant doesn't meet their responsibilities in the tenancy agreement. 

    The deposit should be paid back to the tenant when their tenancy ends, unless they have broken terms of their agreement and incurred costs for the landlord. Common reasons for withholding money from the deposit are:

    • Cleaning
    • Damage
    • Unpaid rent
    • Redecoration
    • Gardening
  • Should my deposit be protected?

    Deposits need to be protected on the standard type of tenancy with private landlords, called an 'assured shorthold tenancy' (AST). 

    The key features of an AST are:

    • it began on or after 15 January 1989;
    • the annual rent does not exceed £100,000;
    • the house or flat is let as separate accommodation; and
    • it is the tenant’s main home.

    This is defined by the Housing Act 1988 (as amended).

    Other types of tenancy do exist, so check the paperwork if you're not sure. If you are a lodger (living with the landlord and renting a room) it is not an AST and the deposit doesn't need to be protected. 

  • Is my deposit protected by the Tenancy Deposit Scheme?

    Insured protection
    
    If your landlord or agent holds your deposit, your deposit may be protected with our Insured scheme. Please go to TDS Insured for information about our Insured scheme. You will have a reference number in the format 7sgjw2 if your deposit is protected with our Insured scheme.
    
    The agent or landlord holds the deposit and we have insurance covering it. If the agent or landlord fails to pay money that they owe, we can refund the tenant and claim it from our insurance. We pursue them separately to recover money that they owe.

    Custodial protection
    
    If TDS holds your deposit it is protected using our Custodial scheme and the following information will apply. You will have a reference number in the format EW00000000 if your deposit is protected with our Custodial scheme.
    
    We hold the deposit in a designated account. We only release the funds when both parties agree or following a decision by a TDS adjudicator.

    Both forms of protection include free dispute resolution, whereby the tenant can refer a disagreement over the repayment of the deposit to us for impartial adjudication. Adjudication is mandatory when requested by the tenant. 

  • How does TDS protect my deposit?

    Insured protection: The agent or landlord holds the deposit and we have insurance covering it. If the agent or landlord fails to pay money that they owe, we can refund the tenant and claim it from our insurance. We pursue them separately to recover money that they owe. 

    Custodial protection: We hold the deposit in a designated account. We only release the funds when both parties agree or following a decision by a TDS adjudicator. 

    Both forms of protection include free dispute resolution, whereby the tenant can refer a disagreement over the repayment of the deposit to us for impartial adjudication. Adjudication is mandatory when requested by the tenant. 

     

  • What is prescribed information?

    When your deposit is protected your landlord or agent must give you written details of your protection and a leaflet explaining how the scheme works. This is prescribed information. It must be issued within 30 days of receiving the deposit.

  • Do holding deposits need to be protected?

    No. A holding deposit is just used to reserve a property which you want to rent and is not held against the tenancy agreement. For convenience your agent might keep the holding deposit to use as the tenancy deposit. 

  • Do 'pet deposits' need to be protected?

    Yes. If you have a pet and your landlord asks for an extra deposit it must be protected.

  • When did the tenancy deposit protection schemes start?

    Deposit protection law came into force on 6 April 2007. 

    TDS has operated an insured scheme since then.

    TDS Custodial launched on 1st April 2016. You can find out more about the different types of scheme here.

  • What if someone else pays my deposit?

    The person paying the deposit on the tenant's behalf is called a “relevant person”,  e.g. a local authority, employer, parent or guarantor.

    They don't need to be entered into the TDS database but should be given the prescribed information to tell them how the money is protected.

  • Which deposits must be protected?

    Any deposit on a private tenancy received on or after 1 April 2013 must be protected in a government approved scheme.

• How to get your deposit back
  • My agent or landlord holds my deposit. How do I get my deposit back?

    If your landlord or agent holds your deposit it is protected in our insured scheme. 

    You should contact your landlord or agent directly to arrange the return of the deposit.

    If you are unable to reach an agreement over how the return of the deposit, the lead tenant can submit a dispute to TDS and an impartial adjudicator will decide how the deposit is to be divided.

    Please follow the link above for more information.

  • What if the other party does not agree to my request for repayment? (Custodial scheme only)

    If the other party does not agree with your request for repayment at the end of the tenancy, they will be given the opportunity to raise a dispute with TDS. 

    The dispute resolution mechanism invites both parties to put forward their case and submit documentary evidence to support their case. An impartial adjudicator will examine the cases to decide how the deposit is to be shared. 

  • What if the agent or landlord doesn't respond to the repayment request? (Custodial scheme only)

    When a correctly completed repayment request is submitted, TDS Custodial will contact the other party to the tenancy agreement and ask them to respond within 30 working days, indicating whether they:

    • agree the proposed allocation of the deposit;
    • partly agree but partly disagree;
    • or disagree completely.

    The other party or parties will be asked, if they do not agree to the repayment request, whether they consent to use TDS Custodial dispute resolution service.

     If no response has been received after 15 working days, TDS Custodial will inform the landlord, agent or tenant who submitted the repayment request that they may use the absent party payment procedure.

  • What is the absent party repayment procedure?

    If TDS holds your deposit it is protected using our custodial scheme. The following information will apply.

    If one of the parties cannot be contacted at the end of the tenancy, or will not respond when contacted, the other may follow the absent payment repayment procedure (also known as a statutory declaration) or apply for payment through the courts. 

    Where the parties are able to negotiate, even if they are unable to agree, they should not use this procedure, but should make a request for repayment. 

    A person may use the absent party repayment procedure if they believe they are entitled to the amount claimed and:

    • At least 14 days have passed since the tenancy ended;
    • The landlord and tenant have not agreed on how the deposit should be allocated;
    • No court proceedings about the deposit are taking place;
    • The applicant has no means of contacting the other party, or the applicant has written to the other party with their proposal but the other party has failed to confirm whether or not the proposal is acceptable within 14 days of receiving it.

    Applications may only be made by post to TDS Custodial. When applying, the applicant must submit a statutory declaration (a formal legal document, witnessed by a solicitor, notary public, or certain other court officers). The applicant’s statutory declaration must, by law, state certain information. Please see Rule 12 of our scheme rules for further details.

  • How does TDS actually protect deposits?

    Insured protection: The landlord or agent holds the deposit and we have insurance covering it. If the landlord or agent fails to pay money that they owe, we can refund the tenant and claim it from our insurance. We pursue landlords separately to recover money that they owe. 

    Custodial protection: We hold the deposit in a designated account. We only release the funds when both parties give consent; when a TDS adjudicator makes an award following a dispute; or when ordered by a Court. 

    Both forms of protection include free dispute resolution, whereby the tenant can refer a disagreement over the repayment of the deposit to us for impartial adjudication. Both parties must agree to be bound by the adjudicator's decision

  • TDS holds my deposit. How do I get my deposit back?

    Please note that if your landlord or agent holds your deposit, your deposit may be protected with our Insured scheme. Please go to TDS Insured for information about our Insured scheme. You will have a reference number in the format 7sgjw2 if your deposit is protected with our Insured scheme.

    If TDS holds your deposit it is protected using our custodial scheme and the following information will apply. You will have a reference number in the format EW00000000 if your deposit is protected with our Custodial scheme.
    

    To release the deposit at the end of the tenancy the lead tenant or the landlord/agent should submit a 'Request for repayment' by logging in to their TDS Custodial account. 

    1. Go to the deposit summary and click 'Request repayment of deposit.'
    2. Tell us how much of the deposit each party should receive.
    3. We will notify the other party of your request and invite them to respond.
    4. If the other party agrees with the request we will repay the deposit.

    If the other party does not agree to the request they will be given the opportunity to raise a dispute and use the Dispute Resolution Mechanism to decide how the deposit should be divided.

    For a screen-by-screen guide on the repayment process, please click on the button below.

    Repayment guide

• Deposit disputes
  • What is a tenancy deposit dispute?

    If there is disagreement at the end of the tenancy over how much of the deposit is returned to the tenant and how much the agent/landlord is entitled to keep, you can use the dispute resolution mechanism to resolve the tenancy deposit dispute. 

    It is free of charge and can be done online. Both parties present a case in writing supported by documentary evidence. An impartial adjudicator will examine the evidence and decide how the deposit is to be awarded. 

  • How do I raise a dispute?

    The dispute process can be completed online. You can begin a dispute after the tenancy has ended.

    The way to start a dispute depends on whether the deposit is protected with the custodial or insured scheme. 

    If TDS holds your deposit it is protected using our custodial scheme and the following information will apply.

    If one party responds disagreeing with the other party's repayment request we will expect you to contact the agent/landlord to negotiate and try to reach agreement. During this period you can still update the repayment request for us to release the money before referring your case to an adjudicator.

    If you don't reach agreement within 10 working days the parties will be invited to upload evidence online with an explanation of the case for an impartial adjudicator to examine. You have a further 10 working days to do this and once both parties have uploaded their evidence an adjudicator will decide how the deposit is to be divided.

  • What evidence do I need to submit?

    Adjudicators must look at all evidence provided, so it should only be submitted if it relates specifically to the issue in question. 

    For example in a damage dispute a photograph if only necessary if it shows the damaged item in question, we don't need any other photos of the property. Or, if you wish to send a copy of email correspondence we only need that which relates to the issue in dispute, not all emails during the tenancy. 

    Evidence not relevant to the dispute might delay the adjudication process.