Payments from us

There are a number of circumstances where we make payments to customers. There are two types of payment: loss and damage payments and compensation payments. Loss and damage payments cover the cost of putting something right. Compensation payments are paid in specific circumstances as set out in tenancy agreements or cover things such as inconvenience. If agreed, loss and damage payments will be paid, even if you owe us money. However, if you owe money to Magna, any compensation payments agreed will be used to clear or help clear your debt.

Compensation for improvements

This will be payable at the end of an assured tenancy, if you have made certain improvements to your home. The sort of improvements that may qualify for this payment are the installation of a new bath, shower, basin, toilet, sink, heating system, loft insulation or double glazing.

You must have received written permission from us before you carried out the improvement, meeting any conditions we set out for the work.

The money that is paid will be based on the ‘notional life’ of the improvement, allowing for wear and tear.

Compensation for failure to repair

We will pay compensation to assured and assured shorthold tenants where certain repairs are not carried out within

target times. It applies when you have reported a repair problem and we then fail twice to carry out the repair within the agreed timescale.

The repairs that qualify for this type of compensation are repairs to your home which affect your health, safety or security. Repairs to garages do not qualify.

The amount of compensation that is payable is a flat rate of £10, plus £2 per day that the repair is outstanding, up to a maximum of £50.

Compensation for service breakdown

We will pay compensation when you suffer from the loss of a service normally provided by us. Examples include the loss of heating or hot water.

If the breakdown is within our control, we will refund the service charge payable for that service for the duration of the breakdown.

In addition, we will compensate you for any additional costs you have incurred, such as extra fuel bills. We may ask for evidence of these costs.

Compensation will not be paid if the service was repaired during the target response time.

Compensation for loss of amenity

We will pay compensation if you suffer loss of amenity, for example if you are unable to use part of your home, where this is caused by factors within our control. This does not apply to work carried out as part of planned improvement programmes, which may be covered by disturbance allowances.

Compensation for loss of amenity will be calculated as a proportion of the rent you paid during the period of your loss.

Compensation will not be paid if the loss of amenity was resolved during the target response time.

Payment for damage to decorations

We will make a loss and damage payment if there is damage to decorations in your home, resulting from repair work or a delay in carrying out repair work.

We will do this either by making good the damage or by paying the cost of making good the damage.

We will not normally pay for damage to decorations caused as a result of major improvement works. In these cases, we will normally make good the damage or pay a disturbance allowance if applicable.

Payment for damage to possessions

In general, we would normally expect damage to your own possessions to be met through your own contents insurance.

However, we may make a loss and damage payment where your own possessions are lost or damaged as a result of disrepair where there is negligence on our part or as a result of something we have done or failed to do. We would consider such payments with reference to our insurance claims procedure.

Disturbance allowances and home loss payments

If you are an assured tenant and we need to carry out major works or improvements to your home, we will pay a disturbance payment and provide you with temporary alternative accommodation if you need to move out to allow the work to be done.

If you have to move out of your home permanently as a result of demolition, improvement or redevelopment, we will pay a home loss payment if you have lived in your home as your main residence for at least one year.

If you are a licence holder and you need to move out of your home while improvement work is carried out, we will arrange alternative accommodation.

Other payments

Compensation or damage and loss payments may be made in other circumstances, such as following a complaint. The value and nature of such payments will be entirely at our discretion.