Who owns the deposit?
At all times during the tenancy, the deposit remains the property of the tenant. However deductions can be made either during or at the end of the tenancy, the amount and the circumstances having preferably been agreed with the tenant, and notified in writing. Estimates or receipts should be provided where appropriate. If a deduction is made during the tenancy, then the tenant should make up the deficit. Where should deposit monies be held? It is advisable to keep the deposit in a separate bank account so that it can be returned at the end of the tenancy unless circumstances arise where an amount needs to be withheld. Again the tenant should be notified of this in writing and receipts provided where appropriate. What procedure should be followed to Avoid Disputes? Deterioration occurs in a property during the duration of any tenancy and allowance for `fair wear and tear’ should always be given. At the start of a tenancy, the tenant should be given an inventory of contents of the proper
