Traditionally rental applicants have been asked to provide a 5-week security deposit required in order to move into their new rental home. However, Northfields now provide a Zero Deposit Scheme – which, together with the ban on any upfront fees – means that our tenants no longer face big financial pressures when they move into their home.
Our applicants now pay a fee based on one week’s rent to cover their Zero Deposit™ Guarantee and they are reassured to know that Zero Deposit scheme is backed by the Financial Conduct Authority (FCA) and are partnered with The Dispute Service (TDS), a trusted dispute resolution organisation.
One of the attractions of Zero Deposit for Northfields is that our tenants can now move in a way that is “much more fluid” and at this expensive time of the year, it means money can be spent on all manner of festive delights, rather than sitting in a secure deposit account for the next 6, 12, 18+ months!
There is no downside to the Landlord, the scheme offers the same protection as a cash deposit does, in fact in many instances, it can be more effective!
How does zero deposit renting work?
Our process is smooth and hassle-free, helping to take the stress out of renting and moving house.
- Purchasing a guarantee ~ You choose to purchase a Zero Deposit Guarantee to replace your security deposit.
- The tenancy ends ~ At the end of the tenancy, if there are no damages or unpaid rent, then the Zero Deposit Guarantee will end and there is no further action required.
- Damages or unpaid rent ~ If there are any damages or unpaid rent at the end of the tenancy, you’ll still be liable to pay for them. Any disputes that can’t be resolved with your landlord will be referred to TDS for adjudication.
To find out more about our ZERO DEPOSIT SCHEME speak to the lettings team NOW
- This Guarantee provides your landlord with protection if you do not pay them directly for the cost of any financial loss or damage due
- You remain completely responsible for any financial loss or damage due to the landlord, as you would with a traditional tenancy deposit
- The cost of the Zero Deposit Guarantee is not returned to you at the end of your tenancy or offset against any claim by the landlord
- There is an annual admin fee of £26 per tenancy collected every year by Direct Debit from the first anniversary until the end of your tenancy
- If you dispute your landlord’s claim, and our expert evaluation partner finds in your landlord’s favour, we will settle with them and then seek reimbursement from you. Failure to pay us at this stage will result in us passing your debt to a debt collection agency which may incur further costs for you and could affect your credit rating
- A Zero Deposit Guarantee is offered to you as a choice, so if you prefer to pay a security deposit, you can. With a traditional deposit, your money will be returned to you if there is no financial loss or damage due to the landlord at the end of the tenancy