Pay-back time for "rip-off" letting agents By MARTYN McLAUGHLIN Published on Monday 7 May 2012 01:37 A CAMPAIGN has been launched to try to help tenants reclaim the "extortionate and unjustified" fees charged by some property letting agents. There are an estimated 500 such firms across Scotland, involved in about 150,000 private lets each year. Graeme Brown, director of housing charity Shelter Scotland, said some letting agents may be charging unlawful fees to those seeking a new home. The charity is today launching a website to help private tenants reclaim excessive fees taken for credit checks, reference checks and other up-front charges. Shelter Scotland believes such fees are unlawful under section 82 of the Rent (Scotland) Act 1984. An investigation by the charity revealed people were facing up-front charges of as much as £180 from some agents, despite the fact the legislation explicitly prohibits charges for drawing up a tenancy agreement. The charity said 90 per cent of the letting agents it contacted demanded fees from tenants for services such as credit checks and the paperwork needed to process applications. Its new website, part of a Reclaim Your Fees campaign, provides advice on what letting agents can and cannot lawfully charge for, outlining a four-step process to follow for anyone who believes they have been wrongfully charged in the past five years. Mr Brown said: "Over 272,650 families and individuals in Scotland call the private rented sector home, and that number is rising. That some letting agents, established and new, are routinely ripping off tenants by charging extortionate and unjustified up-front fees is shocking and, quite simply, exploitative. They are not only ripping off people who need a roof over their head and who, in many cases, have little or no choice but to pay up, they are also undermining the work of good letting agents who offer a fair deal to tenants. We want the Scottish Government to make it clear to tenants, landlords and their agents that all charges above rent and a reasonable deposit are unlawful. A Scottish Government spokesman said: "The majority of Scotland's 500 letting agents operate in a professional manner. Nevertheless, we are aware that concern exists in relation to the legality of pre-tenancy charges made by some agents. That is why the housing minister, Keith Brown, recently launched a consultation which presents options on how the law can be clarified. For more information, find the Reclaim Your Fees website at: www.reclaimyourfees.com