What is a Deposit?
A deposit is a sum of money – usually equal to one month’s rent – that you pay to the landlord or letting agent at the start of a tenancy. It is refundable at the end of the contract, but deductions may be made if:
rent is owed, or
the property has been damaged beyond fair wear and tear.
If you pay a deposit under a standard occupation contract (the main type of contract for renting in Wales), the landlord or letting agent must:
protect the deposit using a government-approved deposit protection scheme, and
provide you with ‘prescribed information’ about the scheme and your deposit. This must be done within 30 days of receiving the deposit.
Getting your deposit back?
At the end of your tenancy, your landlord or letting agent should return your deposit promptly, minus any agreed deductions. If the landlord wants to keep part of the deposit they must explain why and provide evidence.
If you disagree with any deductions, and the deposit is protected in a government-approved scheme, you can use the free dispute resolution service offered by the scheme.
An independent adjudicator will review evidence from both sides and decide how the deposit should be divided.
You do not have to accept deductions you believe are unfair.
Who protects Deposits?
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