Client Money Protection:
This week (Thursday 18th May, 9pm) Channel Five’s “Nightmare Tenants, Slum Landlords” will highlight why Client Money Protection is of paramount importance to all landlords and tenants, as a rogue agent in Ilford fails to pass on rent or carry out sufficient referencing, leading to a sub-letting scam via a Romanian property website.
When IT consultant Doni Soeyono decided to invest his hard-earned savings in a property, he thought it was best to use a letting agent to avoid the headache of any potential nightmare tenants. But from the outset, all was not what it seemed. Almost immediately, Doni found himself on the backfoot with his rent arriving consistently late, if at all, and his requests for information ignored. Just as he thought things couldn’t get any worse, he discovered that the agent had not carried out proper referencing and his house was being sub-let on a Romanian website to tenants who have no intention of leaving.
When confronted by eviction specialist Paul Shamplina of Landlord Action about their shortcomings, including poor referencing and not passing on rent, the agent proceeded to lock Paul in the office. Despite this, the Landlord Action team recovered the rent for the landlord before the company folded. Sadly other landlords and tenants who used the same agent were not so lucky, defrauded out of thousands of pounds in rent and deposits.
Mr Shamplina comments: “This is a particularly difficult case. Not only is the poor landlord battling with rogue tenants residing in his property through a sub-letting scam, he is also fighting against an unscrupulous agent which has failed in every aspect of their duty of care. It is so important that landlords and tenants ask their agent if they have Client Money Protect (CMP) insurance so that if the business closes, their money is protected. If the answer is no, do not use them. There is a common misconception that landlord and tenant money is protected by law (YouGov Poll) but this is not the case, so the sooner CMP is mandatory, hopefully next year, the better.
Doni Soeyono now faces months of trying to evict his tenants. Watch this week’s episode of “Nightmare Tenants Slum Landlords” (18th May, 9pm on Channel 5) to find out if Paul Shamplina and his team manage to have Doni’s...
case transferred to the High Court and get his property back.
About Nightmare Tenants Slum Landlords
With house prices soaring and the rental market over-heating, this series follows victims and villains on both sides of the buy-to-let battlefield. Eviction experts help frantic landlords as they attempt to grapple back their properties from nightmare tenants who won’t pay and won’t leave; and housing enforcement teams up and down the country do their best to protect vulnerable tenants who are living in squalor, at the mercy of slum landlords.
About Landlord Action
Landlord Action is a UK based organisation helping landlords, letting agents and other property professionals. As a champion for landlords, it has campaigned extensively and was instrumental in getting the law changed to make squatting a criminal offence.
It was founded in 1999 as the first ever fixed-fee tenant eviction specialist, they revolutionised this area of legal practice. They have now acted in more than 35,000 problem tenant cases and are considered the authority in this field.
Landlord Action run a free advice line to help landlords and property professionals understand their rights: 020 8 906 3838
About Paul Shamplina
Paul Shamplina is one of the key founders of Landlord Action with 25 years’ experience in the legal field. He has previously worked as a legal clerk, private investigator, debt collector and certified bailiff.
He has appeared regularly on TV and radio and lectures across the UK at landlord seminars and events and still works full time in the office, heading up the team of advisors.
Paul believes passionately in the rights of the landlord and is always available for comment on any landlord/tenant matters.©LandlordZONE® – legal content applies primarily to England and is not a definitive statement of the law; always seek professional advice. Legislation changes, so check dates on these articles. If you have questions go to the LandlordZONE® Forums