Falkirk scheme helps with rent deposit

Citizens represented by Falkirk Council are provided with a free alternative to rent deposit loans. Even residents with bad credit can split their payments into 12 monthly instalments by participating in the Deposit Guarantee Scheme.

This scheme works just like an interest-free loan. Regular instalments can be made over the course of one year to come up with enough savings equal to a month’s rent. That balance can be used to fulfill the required rent deposit on a future tenancy.

Residents don’t have to wait though. A Council guarantee allows for someone to move into a new flat before they have a chance to save the money for a deposit. Landlords receive a bond certificate as proof that they will be reimbursed for any damages even if the tenant cannot afford to pay.

Any tenant who damages a property is still responsible for paying for the damages. Arrears are also their responsibility. What the scheme does is to provide prompt payment to the landlord in any situation where the required funds have not been fully saved by the tenant. Council pays the amount and then pursues repayment from the outgoing tenant.

Someone who cannot afford to pay the rent deposit can still be approved for a new tenancy and get moved in. They have the flexibility to pay instalments according to a plan so that the deposit account is eventually funded.

To be considered for the scheme, an applicant must be a resident within Falkirk Council area without prior history of charges through the scheme. The Council must be reasonably certain that ongoing rent payments can be made by the tenant.

A good candidate is someone who earns low income or is receiving benefit payments. Higher earning residents are also able to apply. Staff will expect that the applicant can afford the monthly rent but cannot also pay the deposit in addition to the rent in advance.

Enquiries about the scheme may be made by calling the Corporate and Neighbourhood Services team on 01324 590797. Residents may visit the Council offices on Callendar Business Park.

Residents who would like to apply must meet with a housing options team member at the closest One Stop Shop:

• Bo’ness One Stop Shop is on 24a East Pier Street. Telephone is 01506 778899.
• Bonnybridge Finance Office is on 18 Main Street. Telephone is 01324 504141.
• Camelon One Stop Shop is on 256 Main Street. Telephone is 01324 503640.
• Dawson Neighbourhood Office is on David’s Loan in Bainsford. Telephone is 01324 501450.
• Denny One Stop Shop is on Carronbank Crescent. Telephone is 01324 504050.
• Falkirk One Stop Shop is at Unit MSUI on Callendar Square. Telephone is 01324 506868.
• Grangemouth One Stop Shop is on 5 York Lane. Telephone is 01324 504550.
• Stenhousemuir One Stop Shop is on 398 Main Street. Telephone is 01324 503340.

A housing options assessment will determine if an applicant is a good candidate for help. If the requirements are met and all information is provided, the Falkirk Council Deposit Guarantee Scheme can provide a person with the help they need to get moved in.

The scheme covers the rent deposit requirement. Tenants are still responsible for paying the monthly rent payment, though benefit payments may be used. The property must be privately owned and can be administered through a housing association. The landlord must be a registered landlord and the property must meet Local Housing Allowance guidelines.

A housing options team member can discuss the scheme with a potential landlord if they are not already on the list of approved properties. They will help negotiate a bond agreement which can cover the deposit in full, up to a single month’s rent. There is not a better option for most people who are having difficulty paying all of the upfront charges involved with establishing a new tenancy. The lack of interest charges makes this infinitely better than any private loan.