What a landlord can legally charge you: eight payments and no more

The agent quotes a figure with a holding deposit, a tenancy deposit, a month's rent up front and something "for paperwork" all folded into it. The law in England is blunt about this: exactly eight payments are allowed, and everything else is prohibited and recoverable.

Which payments are allowed at all?

The list is closed. Rent, but only once the tenancy agreement is signed; a refundable tenancy deposit; a refundable holding deposit to reserve the property; a payment to change the tenancy when you ask to; a payment for leaving without giving enough notice; payments towards utility bills and communication services; a fee for late payment of rent; and a fee for replacing a key or security device.

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Anything outside that list is a prohibited payment. "Landlord" here also means the letting agent, the estate agent or the building management organisation — whoever you actually pay.

How much can be asked for in advance?

Before the agreement is signed, nothing. A landlord cannot ask for, encourage or accept a payment of rent before you have both signed.

After signing, the maximum is one month's rent in advance. The "six months up front" some agents still ask for does not fit inside that rule.

What is the cap on the deposit?

It depends on the annual rent. Below £50,000 a year, the deposit is capped at five weeks' rent. Between £50,000 and £100,000, it is capped at six weeks.

The deposit must be protected in a government-approved scheme.

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What is a holding deposit, and when do you lose it?

It reserves the property while pre-tenancy checks are done, and it cannot exceed one week's rent. The landlord can hold it for 15 days unless a different period is agreed with you in writing.

You should always get it back, with four exceptions: you gave false or misleading information to get the tenancy; you changed your mind; you did not reply to requests for information, documents or action; or you failed a Right to Rent check.

The deadlines are firm. If the money is kept, the reason must come to you in writing within 7 days; if it is returned, that must also happen within 7 days. No decision in time, no decision in writing, or reasons you disagree with, and you can report it to your local council or apply to the First-tier Tribunal.

Can you offer more to beat other applicants?

No, and this part is new. A landlord must include a specific price in any written advertisement or offer, and cannot encourage bidding or accept offers above the advertised rent.

The rent itself must not exceed the advertised amount, and the landlord has to explain clearly what it includes.

What does changing or leaving the tenancy cost?

A change you ask for — adding or removing a person, say — can cost up to £50, or more if the work genuinely costs more. In that case you can ask for proof of the higher cost, and report the landlord to the council if the figure looks unreasonable.

If you leave without giving the minimum notice, the payment cannot exceed the rent due until the notice period would have ended. You can always ask your landlord to agree a shorter notice period.

What can you be charged a default fee for?

Two things only, and both must be written into the tenancy agreement: replacing keys or security devices, and late payment of rent. For keys the landlord has to provide written evidence that the replacement cost is reasonable.

For late rent the rule is precise: interest cannot start until the rent is at least two weeks overdue, and the maximum is 3% above the Bank of England base rate. The guidance works it through: £500 owed for a month at a 3% base rate gives a maximum 6% a year, which is £30 a year, 8p a day and £2.40 for the month.

What about insurance, guarantor services and guarantors?

You are free to use a professional guarantor service, contents insurance, a deposit replacement product or an inventory service. What your landlord cannot do is make you pay for a loan, pay for insurance, or enter a contract for a service as a condition of the tenancy.

They can ask you to provide a guarantor. One caveat: where a guarantor agreement was entered into before 1 May 2026, the tenancy reforms may affect its terms, so existing agreements are worth reviewing with the landlord's consent to any changes — and independent legal advice if it is unclear.

How do you get a prohibited payment back?

If one is demanded, refuse and keep the evidence. If you have already paid, ask for the money back in writing and keep whatever answer you get.

Then your local council: it can investigate, help recover the money and fine the landlord. It will want proof of what you paid or were asked for, any correspondence, and your own account of what happened. A parallel route is the First-tier Tribunal, which can order repayment. If a letting agent demanded the payment, you can also report them to a redress scheme — The Property Ombudsman or Property Redress.