Thanks for all the help everyone. I can't say it all went smoothly, however I was able to put down 2 months deposit (through the agency unfortunately) without having a guarantor or a credit check and I've since moved in. So, all in all, it worked out ok. Thanks again.

Once again, thanks for the reply Aequitas. I think I forgot to mention that my wife and I are both 27 years of age. I understand these measures need to be taken with regards to students, however we've supplied every financial reference possible, and the estate agents are still asking for a guarantor. Not only that, but they stipulate that the guarantor must be: a) in full-time employment. b) a homeowner within the UK. My research (taken from Citizen's Advice Bureau) has indicated the following: "If a tenant is unable to provide a financial reference, for example, because s/he is a student or has only recently started working, the landlord may ask for a guarantor. This would involve a parent or other person promising to meet the rental payments and other financial obligations, should the tenant fail to do so. The guarantor will be legally liable if the guarantee is drawn up properly. The landlord should be referred to a solicitor to do this." My question is now: Can they legally require a guarantor for everyone? (i.e. non-students/Full-time working professionals?) And what if my wife and I did not have family in the UK to ask this enormous favour? Would we be refused? I find this to be extremely discriminatory.

Thank you for your replies. Much appreciated information. I was a little worried with Joa's first response. I'm glad to see there is a sense of justice in the system. And at the moment, I'm not as worried about the £150 deposit because, from the research I've done, and your previous posts, they don't have a leg to stand on in keeping this money. It was a fee charged over the phone in order to hold the property and took place before I had signed a thing. The landlord incurred no costs whatsoever. And the property can still be put on the market. But, I think what I was really trying to get at was whether an agency can make up any policy they want with regards to guarantors. I've never experienced anything like this after renting for several years (nor had the person I spoke to from the Citizen's Advice Bureau) and I can't understand why a credit check needs to be completed by the guarantor? In the past, a letter and a signature was sufficient. Also, according to them and they're policy'; this is a mandatory requirement as of April 2007 due to the change in tenancy rights, which I don't believe. Does anyone who knows something about property law know this to be true? Can an agency require a potential tenant's guarantor to consent to a credit check? Thanks once again for your help.

Hello, I'm new to this, but I'm seeking assistance because I've experienced the same scenario as bigron82 had described. Basically, I've been charged a holding deposit of £150 over the phone in order to reserve a flat. To cut a long story short, ultimately, the estate agent is now refusing to refund the money after we weren't willing to approve the guarantor to complete a credit check. My wife and I are both in full time employment, never had a problem paying our rent, good tenants (with two previous landlord references), have provided every piece of personal information possible (ID, NI number bankstatements, wageslips, utility bills, proof of guarantor's homeownership), yet this particular agent wants to do a credit check on my mother-in-law who'd sign as our guarantor. We find this far too intrusive and argued that WE should be the ones having our credit checked if WE'll be the ones renting. However the agent said that due to the recent changes in the law as of April, 2007, this is a mandatory requirement. I'm not able/(nor willing) to provide a member of my family as guarantor because they reside outside of the UK. So, my question is: Is this legal? Can they actually ask for a credit check to be done on the guarantor? And if refused, are they able to withhold our deposit of £150? Any help would be greatly appreciated! Thanks!