Tenant Deposit Scheme

New custodial deposit schemes launched

There is now a wider choice of schemes for landlords and lettings agents to protect their tenants’ deposits. Until now, the Deposit Protection Service (DPS) was the only choice for those wanting a custodial service, where the whole deposit is handed over to the scheme for the duration of the tenancy, with no fees attached. The custodial schemes are funded entirely from the interest earned from the deposit pool. Now two new custodial services have been launched by the Tenancy Deposit Scheme (TDS) and Mydeposits, to run alongside their insured schemes which enable landlords or agents to retain the deposit during the tenancy but in return pay a protection fee to the scheme. Steve Harriott (left), Chief Executive at TDS, said, “As the UK’s leading provider of tenancy deposit protection, we know that landlords and agents in the private rental sector want more choice when it comes to meeting their legal obligations to protect tenancy deposits. “The launch of TDS Custodial now gives them that choice, providing a fast, free and secure service that removes the hassle from protecting their tenant’s money. Those who make the switch to TDS Custodial can expect a quick transfer of the deposit into our…