my|deposits offers custodial based tenancy deposit protection scheme
my|deposits has been given government approval to operate a custodial based scheme in England and Wales from April 2016.
Protecting tenants’ deposits has been a legal requirement in England and Wales since 2007, and landlords and agents have two options in order to comply with the law: using an insurance based scheme where the landlord retains control over the deposit in return for payment of a fee or a free to use custodial scheme where the scheme holds the deposit for the duration of the tenancy. Both types of scheme offer a free to access dispute resolution service should the landlord and tenant disagree over the return of the deposit at the end of the tenancy. Today’s announcement means that landlords and letting agents who prefer to use the free custodial based option now have a choice over which scheme they use.
Eddie Hooker, CEO of Hamilton Fraser Insurance, commented: “Hamilton Fraser and my|deposits have been through a detailed procurement process with the government and we are delighted to have been given the green light. For the first time, landlords and letting agents in England & Wales will have a choice of custodial schemes to use.”
Hamilton Fraser has been administrating the my|deposits scheme since 2007 and was the first insurance based scheme in England and Wales specifically aimed at landlords. The scheme has gone from strength to strength and Hamilton Fraser now also offers my|deposits in Scotland, Northern Ireland and from November 2015, in Jersey. Today’s announcement means that my|deposits is now the only tenancy deposit protection scheme that operates across all UK regions with both types of scheme.
Mr Hooker, went on: “We’ve been hopeful of winning the contract for some time and have already begun an exciting and ambitious reboot of my|deposits which will launch in April next year. It’s an exciting time at Hamilton Fraser and a great achievement just short of our 20th anniversary as a company.”
Landlords and letting agents who take a deposit from their tenant should visit the my|deposits website www.mydeposits.co.uk/custodial-protection for more information. Tenants can also access a who range of advice, guidance and support at www.mydeposits.co.uk/tenants
