When you move into a rented property, most landlords or letting agents will ask you for a deposit. Your landlord or letting agent then has to lodge the deposit amount with a tenancy deposit scheme within 30 working days of the beginning of the tenancy.
The benefits of a tenancy deposit scheme
Tenancy deposit schemes are free of charge. They:
- guarantee the deposit system is administered fairly
- prevent money being withheld unfairly
- ensure any repayments are made quickly
Every landlord who is required to register as a private landlord and receives a deposit must use a tenancy deposit scheme. This includes:
- landlords of assured and short assured tenancies
- university accommodation
- various other types of occupancy arrangement
A letting agent may take a deposit on behalf of a landlord but the landlord is still responsible for complying with the scheme.
Approved tenancy deposit schemes
There are 3 independent tenancy deposit schemes operating in Scotland. All have been approved by The Scottish Government:
Each of the approved schemes provides a free service to resolve disagreements over the return of deposits as an alternative to legal action through the courts.
Withholding your deposit
Your tenancy or occupancy agreement should set out the circumstances in which the deposit may be withheld by your landlord.
For example, the landlord may decide to keep some or all of a deposit if it is needed to pay for:
- damage you may have caused to the property
- cleaning bills if the property has been left in poor condition
- bills that are left unpaid, for example fuel or telephone bills
- any unpaid rent