How long do I have to protect a tenant's deposit?

You must protect the deposit in a government-backed scheme and give the tenant the prescribed information within 30 days of receiving it.

Which deposit protection schemes can I use?

In England and Wales there are three government-approved schemes: the Deposit Protection Service (DPS), MyDeposits and the Tenancy Deposit Scheme (TDS). Each offers a custodial option (the scheme holds the money) and an insured option (you hold it and pay a fee).

What is the penalty for not protecting a deposit?

A court can order you to pay the tenant between one and three times the deposit amount, and you must still return the deposit itself.

How much deposit can I take?

Under the Tenant Fees Act, the deposit is capped at five weeks' rent where the annual rent is under £50,000, or six weeks' rent where it is £50,000 or more.

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Tenancy deposit protection: the rules landlords can't skip

Take a deposit and you have 30 days to protect it properly — or risk paying your tenant up to three times the amount back. Here's exactly how to do it right.

Written for UK landlords (England & Wales) · Last updated August 2026 · 6 min read

The quick answer: Put the deposit in a government-backed scheme and give your tenant the "prescribed information" within 30 days of receiving it. Use one of three schemes — DPS, MyDeposits or TDS. The deposit is capped at five weeks' rent (six if annual rent is £50,000+). Get it wrong and a court can order you to pay the tenant one to three times the deposit.

What deposit protection actually means

When you take a deposit for an assured shorthold tenancy, the law doesn't let you just hold the money in your account. You must place it in one of the government-approved Tenancy Deposit Protection (TDP) schemes, which keeps it safe and gives both sides a free, independent way to settle any dispute at the end of the tenancy. This protects the tenant's money — and, done properly, protects you too.

The 30-day rule — and the two things it covers

Within 30 days of receiving the deposit you must do both of these. Landlords often remember the first and forget the second:

1. Protect the money. Register the deposit with an approved scheme within 30 days.

2. Serve the prescribed information. Give the tenant the scheme's details, the amount protected, the property address, how to get it back, and how disputes are handled — also within 30 days.

Missing the prescribed-information step is the single most common — and most expensive — mistake. Protecting the money but never serving the paperwork still counts as non-compliance.

The three schemes

In England and Wales you can use the Deposit Protection Service (DPS), MyDeposits, or the Tenancy Deposit Scheme (TDS). Each offers two options:

Custodial — the scheme holds the deposit for the whole tenancy. Usually free to use.
Insured — you keep the deposit in your own account and pay the scheme a fee to insure it.

🔔 How ProPixa helps you stay on top of this

ProPixa records each tenancy's deposit — the amount, the scheme, the protection date and where the prescribed information is stored — so you always have proof you did it right and on time. No more digging through emails at the end of a tenancy to show you complied.

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How much can you take?

Under the Tenant Fees Act, the deposit is capped:

Five weeks' rent where the annual rent is under £50,000.
Six weeks' rent where the annual rent is £50,000 or more.

Taking more than the cap is itself a breach, so work it out from the weekly rent (monthly rent × 12 ÷ 52 × 5) rather than guessing.

The penalty for getting it wrong

One to three times the deposit. If you don't protect the deposit or don't serve the prescribed information in time, a tenant can take you to court, and the court can order you to pay them between one and three times the deposit — on top of returning the deposit itself. With Section 21 "no-fault" evictions now abolished in England, deposit compliance is more important than ever: falling short weakens your position if you ever need to regain possession.

Your deposit checklist

Work out the cap (5 or 6 weeks' rent) and don't exceed it.
Register the deposit with DPS, MyDeposits or TDS within 30 days.
Serve the prescribed information on the tenant within 30 days — and keep proof.
At the end of the tenancy, agree deductions or use the scheme's free dispute service.
Record it all in one place — or let ProPixa keep the evidence for you.

Frequently asked questions

What counts as "prescribed information"?

The scheme's name and contact details, the deposit amount, the property address, the landlord's and tenant's details, how the deposit will be returned, what to do in a dispute, and confirmation the tenant has read it. The schemes provide template forms.

Do I need to re-protect the deposit when a fixed term rolls over?

Requirements can change when a tenancy renews or becomes periodic. It's good practice to confirm the deposit is still protected and, if needed, re-serve the prescribed information — the schemes explain their own rules for this.

What if I took the deposit years ago and never protected it?

Protect it as soon as possible and serve the prescribed information — but be aware the tenant may still have a claim for the earlier non-compliance. If you're unsure, take advice before serving any notices.

Does this apply to a holding deposit?

No — a holding deposit (to reserve a property) is different and is separately capped at one week's rent under the Tenant Fees Act. This guide is about the tenancy deposit that secures against damage and unpaid rent.

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