A survey says 73% of tenants regard themselves as financially literate – but in reality there are huge knowledge gaps.

A Housing Hand survey of 1,700 UK-based renters, conducted along with focus groups, reveals that 46% of renters don’t know how deposit protection schemes work, while 63% don’t know how long it takes to get their deposit back.

In addition, 65% of renters don’t know that depositless renting schemes exist. 

And, while landlords and rental accommodation providers across England are preparing for the proposed Renters’ Rights Bill to become law, 69% of their tenants have never heard of it.

Some 33% of renters report not knowing what would happen if they paid their rent late, while 58% wouldn’t know what to do if they found themselves unable to pay. 

For those living in shared households or sharing a tenancy agreement, 67% don’t know what would happen if one member of the household doesn’t pay their rent.

When it comes to filling this knowledge gap, 82% of those surveyed would have liked more financial education in school. 

Of those surveyed – who included both working professionals and students – 31% report that they get information on managing their housing-related finances from family members, while 15% get information from friends. 

Some 38% turn to the internet to find the information they need, while 9% rely on social media. Just 6% of renters got information on managing their household finances from their university and just 2% from their school.

“The Renters’ Rights Bill is moving through Parliament towards becoming law but, as our report reveals, renters haven’t had sufficient support in understanding all aspects of their current financial commitments, let alone how the Bill may impact them. There is a significant opportunity here for landlords and others in the sector to work with renters for the benefit of all those involved in the rental process” claims Housing Hand managing director Graham Hayward.