Tenant on benefits aint paid rent help.

lemonjelly

Oldernotwiser wrote: »

That's true but the lower your income, the more likely you are to get into arrears.

(Why anyone thought it was an improvement to stop paying rent direct to LLs escapes me!)

I appreciate your point, & think there are groups of people (specifically the most vulnerable) where the hb should be paid direct to the LL. I can also see where this policy has faults - imagine, you're addicted to whatever substance & it's been a few days. All of a sudden you get £500 rent money paid into your account. First thing you'll do is go & pay the rent, right?

However, for the vast majority of the population, there is no real reason why hb should be paid to the LL. In fact, it creates a problem, as a lot of people now say they don't pay rent - the council pays it for them (actually, in reality, they do pay rent, meeting this obligation through claiming hb). However, one of the issues this site champions is financial inclusion, and responsibility. This way, there are many benefit claimants who will now have to take on the responsibility of setting up a direct debit, or similar, to pay their rent themselves, & have some ownership of that.

I have come into contact with many benefit claimants, who suddenly find they're 8 weeks+ in arrears, as their benefit has stopped. They were unaware, as it was paid direct to LL. However, if it didn't go into their bank account, you can bet they'd have noticed, and acted to resolve it!

DEBT_23

hi all. to answer a question on the other page, No im still owed the deposit. she moved up here with no money and so i said i would like the deposit paid at some point in the first year.

the rent is being paid direct to me from July.
So i take it the arrears will never get paid . she is on income support and i really doubt she could clear the arrears , it would take years if she did and im out of pocket. :-(

hayley11

DEBT_23 wrote: »

hi all. to answer a question on the other page, No im still owed the deposit. she moved up here with no money and so i said i would like the deposit paid at some point in the first year.

the rent is being paid direct to me from July.
So i take it the arrears will never get paid . she is on income support and i really doubt she could clear the arrears , it would take years if she did and im out of pocket. :-(

You really put yourself at risk by not getting the deposit first. Did you know this woman before you let her move in? Or was she a total stranger? You're obviously a very trusting person

It doesn't look like you will ever get your arrears back but you never know, she might get a job at some point or meet somebody so her income may increase. Or she may just handle her money a bit better in the future.

Tell her to join MSE, she can get on the DFW and OS and they'll show her how to make her money last

DEBT_23

no i dont kno her, i just knew she moved away from family with a 5mth old baby and had nothing.
whats a crisis loan? would they help her?

hayley11

DEBT_23 wrote: »

no i dont kno her, i just knew she moved away from family with a 5mth old baby and had nothing.
whats a crisis loan? would they help her?

I think others have said you can't get a crisis loan for rent arrears. Crisis loans are for really serious things like having no money at all for food. Not just because she didn't manage her money properly. And I doubt they'd give her anywhere near that amount anyway. If you want her to see if she can get anything from the social, then she needs to ask them direct.

socrates

DEBT_23 wrote: »

no i dont kno her, i just knew she moved away from family with a 5mth old baby and had nothing.
whats a crisis loan? would they help her?

If those were her circumstances the Housing Department would have offered her temp accom. - she obviously did not want this.

There also would have been a Private Sector Leasing Team who would put her in touch with LL's like yourself.

The difference being they would have paid YOU four weeks rent in advance and given you a certificate for a deposit of four weeks.

The numbers would have been based on LHA rates for your area.

Next time use this route - as the people within this scheme have to be vetted to qualify - they cannot have been in arrears or have any anti-social issues or any addictions or the like.

I have several tenants like this - one of them was initially a problem but once she realised that by not paying her rent it went against her record she soon tidied matters up.

However I had already organised for the money to be paid to me directly.

You do not have to wait for eight weeks - you can report non-payment as early as three weeks from the day the Allowance starts and have the claim suspended pending an investigation.

Local Authorities have a target of 90% of all LHA to be paid to tenants directly - how they interpret that is very different depending on location.

For example I understand in Scotland (from another thread) they issue initial payments to LL's if they feel there is a threat of the tenant not paying - this no nonsense/common sense attitude is needed more in England.

Incidentally a Local Auth. cannot tell you if there are issues why a tenant should not have LHA paid to them directly (Data Protection) BUT you can ask:

'is there any reason why this tenant should not have their LHA paid to them directly' - they would then be under obligation to tell you.

I also make sure I go along when they fill in HB forms and register to be able to discuss their claim - so I know exactly what is going on.

silvercar

I was/ am in the same situation.

Tenant on benefit got behind with the rent. came to a head just before Xmas when over 2 months rent was owed.

I contacted the council and they very quickly moved to make payment direct to me. At the same time the tenant promised to pay off the rent arrears of the next few months.

I think you have to look at where you are now, not much point dwelling on the past.

I now have a tenant who keeps the place tidy and clean. I have the rent (all but £30 a month) being paid directly to me. Now that is likely to be more secure than turfing this tenant out and risky a void and then finding another tenant who doesn't pay the rent/ loses their job/ trashes the place....

I've got the rent arrears. Tenant makes a vague attempt to pay off arrears, but promises don't materialise. Rent arrears are around 2 months (council pay in arrears, so situation got worse before getting better, tenant has paid a bit.) I do have 6 weeks deposit.

If I evict tenant, I'm never going to see the rent arrears. If I keep tenant and continue to have rent paid direct to me, I have the security of knowing the council will pay the rent direct.

Your choice and I know its gutting to be rewarding someone for building arrears, but you now have rental income from a reliable source - better than any new tenant private or DSS.

catenorfolk

Dave101t wrote: »

what do you expect renting to a benefit class?

That comment is a bit harsh, can you clarify what you mean by 'benefit class'

DEBT_23

im pretty aware that now im saying goodbye to my £1200 arrears. but can some one clarify something. my tenant didnt have money for deposit and has been in my house for 6 mths now. the deposit is still outatanding. could i at least gain my deposit from her if she applies for a crisis loan?????? atleast that way im getting my deposit if nothing else !?!?? help please on that. would she have to go to a jobcenter to apply.

Zara33

DEBT_23 wrote: »

im pretty aware that now im saying goodbye to my £1200 arrears. but can some one clarify something. my tenant didnt have money for deposit and has been in my house for 6 mths now. the deposit is still outatanding. could i at least gain my deposit from her if she applies for a crisis loan?????? atleast that way im getting my deposit if nothing else !?!?? help please on that. would she have to go to a jobcenter to apply.

Truthfully i can't see you getting any arrears or any deposit, your tenant has been with you 6 months a little late to do anything i would assume. Think about for a wee minute what woul;d your tenant put on a crisis form ermmm i need money for a deposit on a flat that i hav lived in for six months.

You really need to be a landlord that is twice your fingers have been burnt!