chewits - the debtquake monster is coming

tealady

kissjenn wrote: »

MSE Dilemma

Do we start charging for the costs we incur when tenants default and try to stop our income falling further (as allowed in the leases)

or

Do we allow tenants to keep using our money as a free overdraft without our knowledge or consent?

I'd love to hear some opinions...

I think you know what the answer is. This debt to you is costing YOU money, get the tenants or Council to pay up ASAP.

kissjenn

Thanks Tealady. I think I do but the coward in me wanted someone else to come to the same conclusion. The posts elsewhere about don't pay anything, it's their fault your in debt I find unnerving. I simply want what someone contracts to pay, I fulfil my part in full.

OK plan for next week is to draw up business plans and part of that will be the first draft of an arrears policy. My brother is building me a website (note to self: must pay him soon for the hosting costs etc) and on that we can put the policy and reiterate the charges set out in the lease. Then I'll post a copy to each tenant and point them at the website and start charging from 1st July / August.

Spend wise only bought tomorrows dinner - Scotch Pies as specially requested by Grandad with beans and mash - we know how to treat ourselves here.

Activities for Next Week - List to expand over weekend

1) Sort out all filing in office
2) Ebay 10 items a day, 50 by next Saturday.
3) Pick one room and clear it out - tip, ebay, charity, freecycle, storage
4) Create an update spreadsheet for flats in arrears in send to Council
5) Draft arrears policy
6) Send pension details to accountant
7) Sort out Gas and Elec DDs
8) Check building and contents insurance
9) Chase small boy to bring home EMA form
10) 8 Hours OU work
11) Bring ebay spreadsheet up to date
12) Check Jobserve


Activities to be done over next 6 weeks

1) Passport renewals for OH and DS
2) CAB appointment for OH to discuss DLA
3) Brainstorm project plans for business ideas
4) TMA Assignment 4 (June 12)
5) OU Day (27 June)
6) DS Birthday (27 May)

kissjenn

1) Sort out all filing in office
2) Ebay 10 items a day, 50 by next Saturday.
3) Pick one room and clear it out - tip, ebay, charity, freecycle, storage
4) Create an update spreadsheet for flats in arrears in send to Council
5) Draft arrears policy
6) Send pension details to accountant
7) Sort out Gas and Elec DDs
8) [STRIKE]Check building and contents insurance
[/STRIKE] Done and Dusted. After checking what I was paying as responsible homeowner of 25 years, answer was zero, zilch, nada. At somepoint in my life and multiple DDs it disappeared and I never noticed. Oh the shame in the knowledge I'm a divot. Did the Quidco thing, mucked up the Quidco thing so Double Divot - thats me a DD til I die!! Good news was tho I found a brilliant deal regardless of £25 mucked up cashback so we're all insured for £136; policy paid and filed.
9) Chase small boy to bring home EMA form
10) 8 Hours OU work
11) Bring ebay spreadsheet up to date
12) Check Jobserve

Started clearing out cupboards in kitchen to find what's lurking. I haven't broken the news to OH and DS that brekkie tomoz consists of cereal available (that will kill small cereal killer boy who pours milk in packet to save time) or the yummy scrummy tins of prunes I've found and decanted into a bowl so they be fresh and chilled for morning. :rotfl::rotfl::rotfl:

11 Jobs left for coming week.

EssexHebridean

ROFL @ prunes - that'll go down well!

Stick at it - you're doing so well, and as for the tenants in arrears, it sounds like you have given more than enough latitude - time to start taking the harder line I'm afraid. You simply cannot continue subsidising other peoples lifestyles.

kissjenn

Thanks...they've taken it less than stolically. In fact if I did as they suggested with the prunes it would pretty much negate their cleansing appeal.:eek:

I appreciate the advice re the tenants. I'm going to spell it out one last time to all of them and then act accordingly. I can't carry them and they and the Council need to understand that.

If I can crack this and get a contract for even 3 months we'll be set for 6 months. Anymore work and I can pay off the extension works as we incur them. That would be so good. I can but dream. :rolleyes2:rolleyes2:rolleyes2

kissjenn

Went to cinema today with DS and Grandad. For first time in living memory bought only tickets and one drink. Grandad supplied sweets and we had a great time for £21.30. Usually that would have been £70 or £80 and included lunch or dinner and maybe a wander round DVD and Bookshops buying stuff we just fancied adding an extra £100 or so. I'm so pleased we did that, enjoyed the film and cut out all the unnecessary spend.

Started looking at some of the ideas on the Coupons link. Never ever knew that you can use product coupons and spend x at supermarket and get £5 back coupons all at Mr T. Site says sales assistants may quibble but its their official policy. So going to Mr T's at a seaside town nearby with a beach away from all roads where mad husky can be mad husky to her heart's content. Then Mr T's, ready for a stushie if need be (nice stushie of course) then home and some real work.

Planning menus all this week has worked so well I'm beyond impressed. We've wasted no food and reduced the nuclear stockpile of things in the cupboards. My mother was a warbaby and we plan for the next invasion at all times. Enough lentils to see us through til peace is declared. This will be reduced until we can survive a small skirmish rather than WWIII.

Hitting to do list big time tomorrow, need to add Write a Business Plan for DS. Friend had loads of ideas after one of his moody strops (I don't even ask what I've done anymore...strange creatures), 3 months then 4 hours of texts with ideas over half of which were useful. So Bus Plan is a must.

So To Do List for w/c 18th May now reads:

1) Sort out all filing in office
2) Ebay 10 items a day, 50 by next Saturday.
3) Pick one room and clear it out - tip, ebay, charity, freecycle, storage
4) Create an update spreadsheet for flats in arrears in send to Council
5) Draft arrears policy
6) Send pension details to accountant
7) Sort out Gas and Elec DDs
8) [STRIKE]Check building and contents insurance [/STRIKE] Done 16/05
9) Chase small boy to bring home EMA form
10) 8 Hours OU work
11) Bring ebay spreadsheet up to date
12) Check Jobserve
13) Business Plan for DS

and from 6 week plan

14) CAB appoint for OH to discuss DLA

Fire_Fox

kissjenn wrote: »

Okay - need to get on top of rent arrears due to me. Council is way behind with housing benefit claims so one tenant 3 months in arrears - I can't afford this. Been to see local councillor wh didnt know how system worked and ended up in three way debate with HB Team, Homelessness Team and us. Nobody wants to know until we threaten to evict and I don't want to evict people. I'm maybe being really dumb but I think a system which gives people their full housing benefit, whether or not they want it direct, and then scratch their heads when it goes on other bills to those who scream louder and send threatening letters is designed by people who've never spent a day in the real world.

I was really scared about posting being a landlord because lots of people on this site seem to regard us a spawn of rachman but we're not. We charge market rents (not inflated to LHA allowances) provide proper leases insure the building do safety checks etc etc. My debts are increasing because people are choosing to spend the housing benefit (once the council spend weeks agreeing it) on other things. I have never charged debtor interest up until now, or admin charges for the days we spend trying to contact people to sort things out. But I need to provide for my family too and I'm not a faceless large company, I'm a working mum.

I'd love to hear some opinions...

It seems to me that it's the tenant's job to chase up the council as it's the tenant who is defaulting on the rent. I'd explain to my tenants about the extra charges they will start incurring and suggest they contact the council at least once a week, and e-mail/ text you the result (inc. name of contact). If you also do a little chivvying that's going to be a lot of hassle for someone at the benefits office!

I am pretty sure housing benefit can be paid to the landlord OR the tenant, depending upon what the tenant wants. You should be able to insist it is paid directly to you as part of the tenancy agreement. BTW I can't understand why some people think it makes you a better person to have a maxed-out ISA or to invest in the stockmarket, but it's somehow 'wrong' to own more than one house. :rolleyes:

kissjenn

Thanks Firefox. I've written to the council again tonight. I think you've struck a very important chord regarding in who's interest this is. The tenants know from their mates, CAB, TV etc that evicting them is long and tortuous. Many threads on here explain exactly how you can legally tie your landlord is knots that they'll give up trying. Because of this they do nothing. If I institute the charging policy then they'll start to feel it financially.

Regarding having the rent paid direct that option was removed in April last year with the introduction of Local Housing Allowance. The whole market has skewed due to the mad rates being used and the fact they're allowed to legally overclaim up to £15pw which isn't used in any other calcs!! And they still default. The only way I can get direct is either if they complete with their Dr or Social Worker an 8 page form detailing why they are incapable of dealing with their financial affiars, addiction being a favourite. They then have to provide documentary evidence. So very few will do that. Second route is when they hit 8 weeks of arrears, we can then ASK for it from that point on, no arrears - we have to pursue the tenant. If the tenant pays the arrears then they can demand that they get the benefit direct to them again.

It was raised in Parliament last week as upto 50% of landlords are now refusing tenants with any dependancy at all on Housing Benefit. Govt are going to look at it next April because they think its very successful :eek::eek:

So definately going to incorporate your idea - that may put the wind up them a bit - the eternal optimist me :rotfl::rotfl::rotfl:

Oh dont know if I mentioned - I now have my own dedicated HB person who deals with all my properties and issues. Such a good use of resources, so pleased my council tax goes on useful roles. Maybe its a new Govt version of YTS - make the system so carp (like CSA) you have to employ half the country to deal with the other half who are trying to claim it. :rolleyes:

kissjenn

I am a sad person who needs lists to function.

1) Sort out all filing in office
2) Ebay 10 items a day, 50 by next Saturday.
3) Pick one room and clear it out - tip, ebay, charity, freecycle, storage
Room picked - my room will be blitzed tomoz and ebay items found.
4) [STRIKE]Create an update spreadsheet for flats in arrears in send to Council
[/STRIKE] Done 18/05
5) Draft arrears policy
6) Send pension details to accountant
7) [STRIKE]Sort out Gas and Elec DDs
[/STRIKE] Done 18/05. £450 refund on its way and DDs halved. Switched suppliers and knocked another £200 off a year and £70 cashback. Also threatened to quit Homeplan and they gave a 20% reduction to keep me so £60 pa saving.
8) Check building and contents insurance Done 16/05
9) Chase small boy to bring home EMA form
10) 8 Hours OU work
11) Bring ebay spreadsheet up to date
12) Check Jobserve
13) Business Plan for DS

and from 6 week plan

14) CAB appoint for OH to discuss DLA

Additionally had feedback from both archiects and Bannatynes. Architects are pushing for meet Friday or Monday. They seem keen to come here. I'm swithering - is it better if they're on my turf and I can show the managing partner just how little his boys achieved. I shall ruminate and decide tomoz, if anyone has any ideas - be great to have a fresh perspective. Bannatynes is a bummer. I did sign a set of T&Cs which were neatly placed on the back of the form they kept. Son is 16 next week so should be out of equation. OH definately qualifies for the 1 month rather than 3 break in contract. I so don't want to take him to the Dr to have them waste their time writing a letter to keep Duncan Bannatyne's HQ happy because that's their minimum criteria according to the centre. I'm very tempted to take him in and get them to train their cctv on him and report back to HQ that the man would be a walking liability who can't find the men's changing rooms never mind take a quick spin class!! Humph, very annoying.

On the plus side I've got the hang of Quidco and Fuel provider swap and small boys birhday pressies are all logged thro. Couldn't believe I got 6% of an itunes gift card - result and I bought the Red one so they give money to African Aids Charities...win win. Also found game he wanted at half price and other one at 2/3 price so he got an expansion pack as a bonus from me. :T It's all coming this week, so bake a cake at the weekend and small boy sorted (he patted me on the head tonight and called me special, I'm smaller than small boy )

Also did coupons for first time ever at Mr T. Used the Mr M one from the Sun and altho they should take it the systems went wrong. In the end they gave me a fiver from the till. So stuck to list and used accumulated vouchers and coupons to get the bill down from £98 to £60. So another small triumph. Won't have that many in future tho, I almost cried when I think how many I've binned because we don't use a specific product.

kissjenn

Little in the way of achievements. Agents rang about a job and seemingly I'm being put forward. Only a month but with my new found frugal ways I can make the money stretch a bit.

Phoned BT to try and switch the phone. Becos I'm at home useage is up speaking to agencies and mainly Council offices so suggested to nice man in India who couldnt understand my accent that perhaps a payment paln like free calls at all times to landlines might be sensible. I am on plan for free calls at evenings and weekends he tells me. You will save money if you only call them. I asked him to give the Council a quick ring to change their opening hours. So wait until bill comes in at end of month and probably switch to other company.

More success with Petplan. Following a tip somewhere on here (sorry forgotten whose diary) they suggested phoning up, threaten to quit and they'll drop rate 20%. Well plan is £22 per month so 20% is a lot over a year so thought I'll shop around and see what I can find. Best deal I found for us although not cheapest was twice the cover we currently have for under £15 per month and £30 cash back from MoreThan. Really pleased and now mad dog can cause chaos and we're covered upto £2m. Phoned up Petplan and they now have a dedicated quit option, didn't even offer to make me a deal, refunds in the post.

OH felt much happier when I told him this. We've had to pave all along the fence as she burrows out and skips down the middle of the road smiling and waving. We've now found she always comes home but she has the road sense of a slightly backward hamster and we fear for the carnage she'd cause. Caught her once in over the roads garden helping herself to the kids toys. Came home pleased as punch with a large stuffed cow. I put it shamefaced on their doorstep and it was back on ours next morning - mea culpa I've a klepto husky.

Joiner coming tomorrow to do the first tiny job on the extension work. Before the plasterer comes I'll have to gut the room. Just the kick up the a**e I need. Need to be up at 7am tomorrow as Courier coming for eba parcel anytime after 8am, deliberately set it early to make me move.

Hopefully more productive tomorrow.