Cash Deposit for lease?

PK2008

Is it usual to ask for a cash deposit for a lease?

I was recently shown an apartment by a letting agent (through daft.e) which I'd like to move into. The letting agent called me up and told me to meet him at the apartment tomorrow with a cash deposit and we will sign the lease. I guess I was expecting to pay through bank transfer rather than cash and the mention of cash kind of made an alarm bell ring.

I could be being paranoid- the letting agent looks like it has a fairly big presence on Daft but anything I Google regarding cash deposit says to be wary and stick to a bank draft (the letting agent has been pitching the cash deposit as a requirement of getting the lease though.

Is this usual or does this sound dodgy?

the_syco

PK2008 wrote: »

the letting agent has been pitching the cash deposit as a requirement of getting the lease though.

Although a few ll's I've rented from did cash only, this part does sound a bit odd.

PK2008

the_syco wrote: »

PK2008 wrote: »

the letting agent has been pitching the cash deposit as a requirement of getting the lease though.

Although a few ll's I've rented from did cash only, this part does sound a bit odd.

Thanks the_syco. I think im just getting a bad gut feeling from the letting agent, he's a bit pushy for cash / pressing to move quickly but acting like he's doing me a favour.

I`ll meet the guy tomorrow and double check the lease. is a pity cos it is a nice place, just the approach of the letting agent is putting me off.

Pkiernan

It is likely that this is a scam.

What legitimate agency or LL requires cash?

Have you contacted the agency he works for to confirm he is legitimate?

the_syco

Pkiernan wrote: »

It is likely that this is a scam.

What legitimate agency or LL requires cash?

Have you contacted the agency he works for to confirm he is legitimate?

This. I'd Google his agency, and ring the number you get from the website. Also, check the address of the agency if you get a chance to ensure that the agency is still trading.

PK2008

Thanks guys, I Googled the agency- they do look fairly big/well known (wont name them here for obvious reasons but could maybe pm if anyone has experience in this area and can advise). They have a lot of sales and lettings in commercial and residential, the property I'm interested in is on their website and the agents name is on it- so looks legit. I also googled the agents name and he is referenced in an Irish independent article so maybe its just a bit of a clash of personalities.....? He has said that he will provide multiple copies of lease and receipts for deposit - the rent is to be paid into a bank account.

I spoke to a mate who has recently become a landlord and he said he usually gets cash up front for a deposit so said its not unusual, though he said he never pressure for one payment method or another as long as the money is paid and he always issues receipts.

I might be just being a bit paranoid, but the fact that its a middle man rather than the landlord them self and the insistence on cash just has me wary.........

Yawns

I usually do cash deposit when signing a lease. Get a receipt on a headed piece of paper with his company details. Do it in his office and not in the house. Get him to sign and date it.

Never had a problem doing this way for last few years tbh.

OS119

you might want to check to see if what the agent means is 'cash', as in a bundle of used notes in small denominations, or 'cash' in terms of a direct inter-bank transfer that is in the agents account immediately, all of this as opposed to a Cheque which might take a week to clear and even then might bounce.

if the agent won't do a bank transfer i'd be a bit worried - the bank transfer gives you security and there's no 'deniability' available, and the only reason that an agent /LL would refuse a bank transfer would be if wants to be able to deny the agreement/transaction later, either to you, the Gardai or the Revenue.

i'd call into the letting office and get a feel for the operation - if there's doubt, then there's no doubt. there's too many scammers out there doing too well to take a chance on being ripped off and homeless.

PK2008

Thanks guys

In the end I went with a bank draft- initially this didn't go down well with the agent (which made me even more wary) but I contacted the agency office and they said its fine and asked me to come into the office with the bank draft and they would also issue a receipt on headed paper there, along with the lease.

They did mention that sometimes if a person wants to move in straight away then they dont accept a cheque (something to do with cleared funds) however a bank draft it just as acceptable as cash in this situation also.

So maybe I was a little bit paranoid but just had to go with the gut feeling and better safe than sorry I guess...

If anyone else is faced with a similar dilemma I did a bit of goolging about and Bank of Ireland and Threshold both recommend not handing over cash and using a bank draft instead:

See links below:

http://www.bankofireland.com/legal/security/protect-yourself/

http://www.threshold.ie/advice/seeking-private-rented-accommodation/