Tenants

Did you know?...

In Wales, charging most tenant fees has been illegal since September 2019.

This blog post will guide you through the banned fees and clarify what you're responsible for as a tenant.

So what can agents and landlords ask a contract holder (tenant) to pay for (now known as a permitted payment)?

1. A payment for rent - paid in advance (prior to signing the occupation contract) A contract holders / tenant's regular payment to a landlord for the use of property or land. Rent must also be the same across similar periods.

2. Security deposit / deposit - maximum is equivalent to 1 months rent + £100.00

A security or deposit is any sum of money intended to be held by the landlord or agent otherwise as security against any losses incurred through the actions of the contract holder / tenant. Typically, this would be equivalent to around one months’ rent. A landlord or agent must put any deposit in a government-backed deposit scheme.

3. Pet deposit - £100.00 minimum

A pet security deposit will be required should the contract holder / tenant wish to move in with their pet. This is paid in addition to the deposit

4. Holding deposit - a maximum of 1 weeks rent (rent £pcm/4.35)

A holding deposit is a small deposit which is paid by a contract holder / tenant to secure a property. It allows the landlord or agent to check the suitability of a contract holder / tenant; pending successful completion of their suitability tests.

5. Payments in default (when the contract holder / tenant breaches the contract) -

Late rent - Late rent payments over seven days late will be subject to a rate of annual interest

Missed appointments - Such as a landlord arranging with a contract holder / tenant for a contractor to carry out remedial work at a property, and a contract holder / tenant subsequently refusing entry, or not being home to allow entry, resulting in charges to the landlord.

Avoidable or purposeful damage to property - Damage to a property caused by neglect or careless or wilful behaviour by the contract holder / tenant.

Replacement keys - Loss of keys by the contract holder / tenant requiring a landlord to arrange for the cutting of new keys and delivery of those keys to the contract holder / tenant.

Emergency/out of hours call-out fees - Fees incurred as a result of a landlord arranging for someone to attend the contract holder's / tenant’s property at the request of a contract holder / tenant, such as a locksmith or an emergency glazier at the early hours of the morning, when the problem had been caused by the contract holder / tenant in the first place, such as a window broken on purpose, or keys locked inside a house.

Payments in respect of council tax - A payment that a contract holder / tenant is required to make to a council in respect of council tax is a permitted payment.

Payments in respect of utilities - A payment required under the standard occupation contract for or in connection with the provision of a utility (water, sewerage (including cesspits), gas, electricity or other fuel) is permitted.

Payments in respect of a television licence - A payment that a contract holder / tenant is required to make to the British Broadcasting. Corporation in respect of a television licence is a permitted payment.

Payments in respect of communication services - Similarly, you can be charged payments for or in connection with communication service, if required under a standard occupation contract and made in respect of the property you are renting. This includes payments to enable internet access, cable or satellite television of for the use of a telephone other than a mobile telephone

Landlords and agents CAN NOTdisguise banned fees by calling them something else like administration costs, or taking larger depsoits than allowed.

We are seeing more and more tenants coming to us after having experienced some sort of Fee Ban breach, so it is important to get this information in front of as many people as possible. Please share, tag or even print off and give to someone to show them what they should and shouldnt be asked to pay. 

Hopefully it will help someone!!