Letting agents and landlords who use The Deposit Protection Service (The DPS) can now work out how much they may have to return to tenants ahead of the introduction of the security deposit cap, thanks to a calculator tool.
The DPS Deposit Cap Calculator enables letting agents and landlords to list their deposits inside an internet-accessible programme to see which exceed the cap to reduce the amount for affected tenancies accordingly.
Letting agents and landlords then email the calculations to the DPS, which reduces the deposit amount on its systems, sends a payment for the excess to the tenant and makes available a new downloadable certificate for both parties.
Daren King, head of the DPS, said: ”Our new calculator tool will help letting agents and landlords ensure they are ready when the new legislation comes into force on 1 June.
“Our aim is to make meeting the terms of the new security deposit cap as quick and as easy as possible by offering a fully-managed service that allows letting agents and landlords to take care of any deposits that may be affected in one simple process.”
The UK’s largest protector of tenancy deposits said it will also contact letting agents and landlords once the process is complete, to confirm the changes.
The new deposit cap will affect all new tenancies entered into from 1 June, as well as any existing tenancies that are renewed on a fixed-term basis.
New tenancies entered into before 1 June are not affected, irrespective of when the tenant moves into the property, unless and until they become fixed-term renewals.