Zero Deposits

A Zero Deposit policy exists as an alternative to the traditional security deposit, it also provides landlords with the same cover and protection.

However, from 1st June as part of the Tenant Fee Act 2019, the government are bringing in a five week deposit cap for all tenancies with annual rent of less than £50k. Zero Deposit will still be able to offer six weeks cover to the landlord even after the five week cap has become law.

Why landlords should consider Zero Deposits

  1. Speed up the rental process

    Zero Deposits reduce the upfront cost of renting for tenants, meaning they no longer have to wait for payday to move in, speeding up the process and decreasing the chance of void periods.

  2. Provides security and protection

    With a Zero Deposit policy, you are provided with the same cover as a 6-week tenancy deposit. Plus, the policy is backed and underwritten by one of the world's largest insurers, Munich Re.

  3. Attract a wider audience

    By giving tenants the option not to give a traditional security deposit, you can increase the demand and ensure you find the right tenants.

  4. Tenants are still accountable

    With this policy, tenants still remain fully accountable for looking after your property and paying their rent. Zero Deposit makes the payment to you in the event of a fair claim at the end of the tenancy.

  5. Reduces paperwork

    As the Zero Deposit policy is not like a traditional security deposit, it doesn't need to be registered with one of the deposit protection schemes, which ultimately saves you time and money.

How does it all work?

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Offer Zero Deposits

Tell your agent that you want to accept Zero Deposit on your property and they will talk you through it.
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Tenants purchase

The tenant pays one week's rent for a Zero Deposit policy online and all documents are sent to relevant parties.
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Ready to move in

You've now got the same cover as a six week deposit. Your tenants are ready to move into their new home.
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Tenancy end

Providing the tenant leaves the property in good condition with no outstanding payments, the policy expires.

Contact your local agent

If you're a Your Move landlord and would like to start offering the option of Zero Deposit to potential tenants, find your local branch and get in touch with a Your Move agent to discuss further. If you're not currently a Your Move customer but would like to find out more, find a branch local to you and a lettings expert will be available to talk you through Zero Deposits.

Frequently Asked Questions about Zero Deposits

What is covered by the policy?

You are covered for any financial loss or damage due to you at the end of the tenancy, as outlined in your Assured Shorthold Tenancy agreement.

Who pays for a Zero Deposit policy?

The policy is paid for by the tenant and the landlord is the beneficiary of any claim.

How do I make a claim?

Your letting agent will handle end of tenancy matters in the same way they do currently and inform Zero Deposit of any payments that are due from your tenant.

What if a claim is challenged by a tenant?

We always encourage settlement negotiation. Where the tenant disagrees with a claim made, we will assign the case to our expert evaluation partner, The Dispute Service.

How quickly do I receive a pay-out if my claim is successful?

Within two working days, whether agreed with the tenant or awarded by The Dispute Service. 

Doesn't the Zero Deposit policy mean that my tenant has zero responsibility?

Not at all. Zero Deposits pay approved claims directly to you and pursue the tenants for payments, with financial and credit record penalties if they fail to pay. The claims process, guaranteed by Munich Re, means that any evidence undergoes expert evaluation with the aim of ensuring a fair outome and Zero Deposits pay approved claimed within two working days.