A fresh survey of more than 1,000 people involved in the UK private rental sector has found a staggering and worrying lack of knowledge when it comes to deposit laws and tenants’ rights.
The law requires all deposits taken on an Assured Shorthold Tenancies to be protected in a government-authorised insurance based or custodial deposit protection schemes, but there appears to be a lack of deposit protection awareness among tenants.
Some 98% of renters who took part of the research, undertaken by Just Landlords, did not know their rights when it comes to tenancy deposits.
Renters who took part in the research were not aware that they could be entitled to three times their initial deposit plus their deposit amount if landlords in England and Wales fail to protect Assured Shorthold Tenancy deposits in a government-approved scheme.
“It’s shocking that so few people understand their rights when it comes to tenancy deposits, especially as more people than ever rent from a private landlord,” said Rose Jinks, the Spokesperson for Just Landlords.
“We believe that the companies currently seeking PPI compensation for consumers may turn to unclaimed tenancy deposits when the deadline comes into force in August next year,” she added.