Tenants still waiting for deposits back, figures show

17 2007
A worrying number of renters are having to seek financial assistance from their parents due to delays in receiving their deposits for rental properties, new research has found.

Despite the recently introduced Deposit Protection Scheme, aimed at better protecting tenants' money, 36 per cent of renters questioned in the study said that their landlord had failed to return their money to them before they moved into a new property.

Furthermore, 37 per cent claimed that they have waited more than a month to get their deposit back.

In comparison, just eight per cent received their money back within a week of leaving a property while ten per cent got their deposit back in exchange for the keys.

"Often tenants are stuck in a 'catch 22' when it comes to moving home as they need to move out to get their deposit back but can’t move into a new property until they have a lump sum," said Kevin Firth, client services director at the Deposit Protection Service.

"The 'Bank of Mum and Dad' is often the only viable alternative to an expensive loan or dipping into savings."

According to the organisation, the average tenancy deposit across the UK now stands at £750. ADNFCR-1219-ID-18396633-ADNFCR

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