They add: «Only tenants who have been offered a rental on standard terms with monthly rent payments and a normal deposit can be offered a zero deposit.» I`m not sure what «standard terms» means in this context, but I hope it doesn`t mean Zero Deposits is telling me what I can and can`t put into my leases. That would be a big «no no». (I`ll do more research on this in due course). So you could say that these are not really «zero or zero deposit» systems because they actually cost the tenant a week`s rent. Perhaps they should be called «one-week rent plans»? The system I use is one of the insurance-based systems – it`s powered by MyDeposits. I pay a one-time fee of around £20 for each protected rental and this insurance runs as long as the short rental. In return, landlords like me can hold the tenant`s deposit for the duration of the contract – and possibly earn interest on it or return it to the tenants. (The lease should indicate which one). It should be noted that since its introduction in 2007, disputes between landlords and tenants have fallen to a very low level due to deposit protection. I have seen figures claiming that only 2% of deposits are controversial. And in most cases, deposits are apparently usually returned to the tenant in full.
✔️ House of Multiple Occupancies (HMO) – properties where tenants live in the same house or building under separate leases Maybe one day the government – conservative or magic grandfather – will impose that we can only do this type of zero or zero rent deposit system. Until they do, I`ll stick to doing things the way I`ve done them so far! I always take a five-week deposit. Only one guarantee is required per Assured Shorthold rental agreement. If you are all in the same rental, only one guarantee is required. However, if you are multiple tenants with separate leases, you will have to pay for separate guarantees. It costs nothing to cancel your zero deposit guarantee™ but you must do so within the 14-day cooling-off period after purchasing the zero deposit guarantee. .