Protecting Your Money
Tenancy Deposit Protection
Under the Housing Act 2004 anyone (managing agent or landlord) accepting/holding a tenancy deposit in respect of an “Assured Shorthold Tenancy” in England and Wales must belong to an “authorised” scheme which protects deposit monies. An “authorised “scheme is one which has Government approval. The scheme must also provide a dispute resolution service to be invoked should a dispute arise about allocation of the deposit at the end of the tenancy period.
Martin Pendered & Co is a Member of the Tenancy Deposit Scheme.
Client Money Protection Scheme
Martin Pendered & Co are regulated by the RICS.
RICS’ rules say that firms regulated by RICS shall preserve the security of clients’ money entrusted to it. This means that a firm regulated by RICS should ensure that:
• Your money is protected
• Any money you entrust to the firm is held in a client account, separate from the firm’s own money
• The client account is a bank or building society account that has the word ‘client’ in its title and contains only money that belongs to clients of the firm
• The firm confirms the details of the account with you in which your money is held
• Your money can only be used for those purposes that you have agreed with the firm.
RICS also funds a Clients’ Money Protection Scheme. This is a free service provided by RICS to clients of firms that are regulated by RICS. RICS purchases insurance to protect its exposure under the Scheme.
Protecting Your Money
Clients who entrust money to firms regulated by RICS are protected in the unlikely event that the money is mishandled.
You can easily recognise a firm that is regulated by RICS by the strapline “Regulated by RICS” used on their business stationery.
How do I know my money is protected by the Clients’ Money Protection Scheme? Any money, up to the scheme limits, entrusted to a firm that is regulated by RICS will be covered by the scheme. If you wish to check whether the firm is regulated by RICS please contact the Regulation Helpline on 0207 695 1670.
How much does the scheme cover? Each claim per member of the public is limited to a maximum of £50,000 subject to an overall aggregate limit for the scheme of £5,300,000 for any one calendar year.
What money is covered under the scheme? The scheme covers the direct loss of money held by a RICS regulated firm on behalf of clients.