Tenant Deposit Schemes - Which one do you use?

[Fandango]

For the Landlords out there i'm just wondering which scheme you've opted for and why?

This is going to be our first time let, from my research it appears there's 3 to chose from

https://www.gov.uk/tenancy-deposit-protection/overview

Deposit Protection Service (Free)
MyDeposits (£60 sign up + £30 for each deposit >£300)
Tenancy Deposit Scheme (£24 each deposit >£500)

I was going to plump for the Deposit Protection Service one purely because its free and i'm not overly fussed about sitting on the £700/deposit as the interest on it would be negligible especially once you factor in the fees for using one of the others where you keep the deposit yourself.

Cheers

[minsky1]

I use mydeposits.

I would not use the custody scheme as your not in control of releasing it back to the tenants. If you dispute all or part of the repayment, all the tenant would have to do it counter dispute. It can end up in a protracted tug of war. The scheme admins do not always have the landlords best interest at heart, it should be said.

If its in your possession your in a much better position, obviously. The onus falls more to the tenant.

[rootsnall]

Deposit Protection Service for me, but I haven't had a tenant leave yet since using that. Easy to setup and admin online. I thought all the schemes mean you don't have full control of the deposit, thats the idea isn't it.

[Lockhouse]

Deposit Protection Service for me, but I haven't had a tenant leave yet since using that. Easy to setup and admin online. I thought all the schemes mean you don't have full control of the deposit, thats the idea isn't it.

+1 for Deposit Protection Service.

[barrydidit]

Another +1 for the deposit protection service. I've used them since the regulations came in and it's been fine for a standard no-dispute scenario. Never had any dispute so I can't comment on what the process is like.

[sasguru]

+1 for Deposit Protection Service.

+1

[minsky1]

therein lies the problem, no one has suffered a dispute yet.

with the insurance scheme, eg. mydeposits, you hold the deposit and pay an insurance indemnity for entry into the scheme. You administer it.

with a custodial scheme, you hand over the deposit. they will administer the scheme.