Your Money is Safe in Our Hands

All renters should be able to trust their agent to protect their money. A key part of any property agent’s role is to safeguard money on behalf of their clients, ensuring that tenants and landlords are properly protected. At Ringley, we are a proud member of the RICS Clients Money Protection Scheme, which guarantees that rent and deposit funds are secure. This membership offers peace of mind to all our customers, assuring them that their money is in safe hands. Unfortunately, not all agents follow the rules, and some put their clients at risk

The Importance of Client Money Protection

Client Money Protection (CMP) is a crucial safeguard in the property industry. It ensures that tenant deposits and rental payments are held securely and properly accounted for. Agents who fail to comply with these regulations can cause serious financial harm to both landlords and tenants.

A Cautionary Tale: When Things Go Wrong

A recent case highlights what can happen when agents fail in their duty. An Essex estate agent, Jane Hipkin Russell, has been disqualified from managing companies for five years after failing to safeguard £28,000 of tenants' deposits and rent owed to landlords. Her residential sales and lettings agency went into liquidation in August 2018, and an investigation by the Insolvency Service uncovered severe financial mismanagement.

How the Fraud Unfolded

Investigators found that:

• 11 tenants’ deposits, totaling £12,000, had no recorded documentation.
• Deposits collected between April 2017 and August 2018, totaling £20,000, were never placed in a government-backed deposit protection scheme.
• Over £7,000 of rent, meant for landlords, was instead used for the business's general expenses

This misconduct resulted in more than £28,000 in financial losses for tenants and landlords.

The Consequences for Rogue Agents

As a result of these actions, Hipkin Russell was banned from running a business for five years. The case serves as a warning to rogue agents who ignore legal requirements and mismanage client money. Such actions not only harm tenants and landlords but also damage the reputation of the entire property sector.

Trust the Professionals – Choose a Safe Agent

Cases like this emphasize the importance of choosing a reputable and accredited agent. At Ringley, we take financial protection seriously, ensuring compliance with all legal requirements. Our RICS accreditation and commitment to transparency mean that your money is always safe with us. When selecting a letting agent, always check for CMP membership and industry accreditations to safeguard your finances.