How to handle a deposit when a new tenancy is created and the deposit moves across from the old tenancy to the new one
There are three scenarios
Scenario 1
- Where a new tenancy has been created for an existing tenant and the deposit has been passed over.
- You are integrated with Xero or QB
- the deposit is held with a custodial scheme.
The first step – Close the old tenancy and refund the deposit as normal. When closing the tenancy please ensure you select your “Dummy deposit bank account”
Click here – For steps on how to close the tenancy within our new closing tenancy screen.
Steps on how to handle deposits held in custodial scheme Xero or QB
Second step – Upon creating the new tenancy
- Within the tenancy add registered deposit charge : tenancy > statement > add charge > select “registered deposit charge”
- Add transaction ” deposit already held ” – allocate to the deposit charge.
Please note “deposit already held ” is a custom analysis code that is mapped to your custodial scheme nominal code in Xero or QB
for further instructions on deposits already held please see:
Scenario 2
- Where a new tenancy has been created for an existing tenant and the deposit has been passed over.
- Using Arthur only
Steps:
- Close the tenancy and refund deposit
- On new created tenancy – add registered deposit charge and pay off the charge from the drop down arrow.
Scenario 3
- Where a new tenancy has been created for an existing tenant and the deposit has been passed over.
- Using Arthur Live bank feed
- the deposit is held with a custodial scheme.
Steps: