For assured periodic tenancies, do not request or accept rent before both parties sign. In the period between signing and the tenancy starting, the usual advance-rent maximum is one month for monthly rent, or 28 days otherwise. The tenancy-deposit cap is five weeks below £50,000 annual rent and six weeks at or above that figure. Check the official exceptions.
Name each payment correctly
Before requesting money, identify whether it is a holding deposit, tenancy deposit, rent in advance or another permitted payment.
- Calculate the applicable deposit cap using the rent and current rules. Keep a written calculation so a weekly conversion can be checked.
- Record who paid, when it was received and which purpose it serves. A payment called a fee cannot avoid the rules governing what it actually does.
- For an in-scope assured periodic tenancy, follow the current restrictions on requesting or accepting rent before the agreement is signed and on advance rent. Check the specific exceptions rather than applying them to every letting.
Protect the tenancy deposit and provide information
Protection and prescribed information are distinct tasks. Complete both for an in-scope deposit within the applicable 30-day period.
- Use an approved scheme and check the tenant, landlord, property and deposit amount against the agreement. Include a relevant third-party payer where the rules require it.
- Keep the scheme confirmation, prescribed information and proof of provision. A registration number alone does not show the information was given correctly.
- Reconcile any holding deposit applied to rent or the tenancy deposit, including the applicant's agreement where needed. Avoid counting the same money twice.
Handle changes and the end of the tenancy
Check the scheme process when parties or circumstances change.
- Review the position if a tenant is replaced, ownership changes or a deposit amount changes. Do not assume the old entry remains accurate.
- At checkout, separate the return of the undisputed amount from a contested deduction and follow the scheme's timetable.
- If a deadline was missed, act promptly and obtain advice. Late protection may help correct the ongoing position but does not automatically remove liability for the earlier breach.
Example: a holding deposit becomes rent
A fictional applicant pays a holding deposit, then agrees that it will count towards the first rent payment. Show that transfer clearly in the ledger and request only the remaining permitted amount. The same payment must not also appear as part of the protected tenancy deposit.
What to do
- Limit a holding deposit to one week’s rent and check the rules for retaining or returning it.
- Record the purpose and receipt date of each payment.
- Protect an in-scope tenancy deposit and provide the required information within 30 days of receipt.
Evidence to keep
- Payment request and receipt
- Scheme confirmation and information served
Sources and guidance
- Rent in advance and depositsUK Government · checked 20 October 2026
- Deposit protection schemes and landlordsUK Government · checked 20 October 2026
- Deposit information for tenantsUK Government · checked 20 October 2026