SCHEDULE 1Permitted Payments

Holding deposit

I13

A payment of a holding deposit is a permitted payment.

I24

A holding deposit is an amount which—

a

before the grant of a standard occupation contract, is paid to a landlord or a letting agent;

b

is paid for the purpose of reserving a right of first refusal in relation to the granting of the contract, subject to suitability checks to be carried out as to the prospective contract-holder and agreement between the parties to enter into the contract;

c

does not exceed an amount equivalent to one week's rent under the contract.

I35

Where an amount required in purported compliance with this paragraph exceeds an amount equivalent to one week's rent under the contract, the amount of the excess is a prohibited payment, with the remainder falling to be treated under Schedule 2.