What happens if I'm 25 days late paying housing association rent?

Calum555

I'm in a bit of short term trouble with money. I am falling into the payday loan trap and need to get out of it. I need to pay 780 pounds at end of this month to clear them. My rent is due on 1st of January and is 475 pounds. If I don't pay my rent I can wipe these payday loans and the outrageous interest.
I am working over Xmas so will be getting double time payments and also already have overtime banked. This means that on my payday which is 26th jan I could pay my rent which would be 25 days late. I'd also then be able to pay the February rent on 1st feb. hey presto I'd be out of payday loan hell.
But what would the implications be? Would my tenancy be at risk? I've lived here 2 years and never been late paying.

McKneff

Phew. I can see your dilemma, but rent has got to be the priority here.

I know you'll pay extra interest if you pay your loans when you were intending to pay yur rent but you would never ever be able to say again that you'd never been late with your rent.

You have to decide, I cant see there being any repercussions, but have you looked at the terms and conditions of your tenancy, I would do that before you do anything else.

Shelldean

with my HA I have missed a months rent sometimes, and onc ethe arrears go over a certain limit they send me a notice of intent to seek possession. But they've never acted upon these, so long as I make extra payments. I make extra payments for a few mths after the missed months, would presume if you make the payment before the next rent period is due there wont be major problems.

BUT this is how my HA work dont know if others will be the same??

EllaBeagle

I would ring the housing association and explain that you are inbetween jobs and that you will only be paid from your new job a month in hand etc (on 26th January) but that you can pay February's rent on the 1st as you have an extra payment coming in?

I know its fibbing but if you let them know of your situation early and that you intend to get up to date as soon as possible they are usually ok. You may get a threatening court or eviction letter that may be sent out automatically but as long as you communicate with them they should be ok. If not, they will tell you in your first phonecall that they are unable to agree to your payment plan.

Then try not to get into the same viscious circle to ensure this is just a one off. Hard I know! Good luck. :beer:

Mrs_Z

Well, whilst your rent should be a priority - the HA can not start eviction proceedings until you are 2 months in arrears. So your tenancy won't be at risk if your payment is 25 days late.

However, If I were you, I would contact your Housing officer or their Rent department and tell them that your payment will be late, so that they can make a note on their file and hopefully this will save you getting any nasty letters.

In your circumstances, what you propose is a sensible but I sincerely do hope that once you are out of the pay loan trap you will never fall in it again. Roof over your head must always be a priority.

Mr_Pitiful

Mrs_Z wrote: »

Well, whilst your rent should be a priority - the HA can not start eviction proceedings until you are 2 months in arrears. So your tenancy won't be at risk if your payment is 25 days late.

Not true, unless you know the policies of their housing association confirm this. Although extremely unlikely a HA would take any action after such a short period doesn't mean they can't. As long as there's some arrears at the time the notice is served and when the court hearing is, they can serve a Secion 8 under ground 10 no matter how small the amount.

Of course these are discretionary grounds, so even if proven it will be up to a judge to decide if it is reasonable to evict based on those arrears, and with one instance of arrears they would unlikely award outright possession. Doesn't mean that they can't though. So their tenancy may, however unlikely be at risk.

squinty

Mrs_Z wrote: »

Well, whilst your rent should be a priority - the HA can not start eviction proceedings until you are 2 months in arrears. So your tenancy won't be at risk if your payment is 25 days late.

.

This is not strictly correct - if the HA rely on ground 8 (mandatory) the rent account needs to be in arrears of 2 months, but not grounds 10 or 11 (discretionary).

DominicJ_2

Have you phoned your tenancy officer?
First step, ask them.

Some will be so overworked they wont even notice, others can, over react.
I'm aware of one H/A that will throw you to the back of the new kitchen queue if you are a day late

BigAunty

Post on the Debt Free Wanabee board - the posters there will be familiar with the tricks and pressures of payday loans and will come up with a strategy to help you. In some instances, they are able to advise debtors how to write off their debts or arrange token amounts for repayment.

Is there anyway that your bank would give you an overdraft in this period if you explain about your increased future employment income?

Rent is a priority bill - see the info on the Debt Management section of the Direct Gov website which has excellent advice on how to prioritise debt repayments and links to debt advice organisations.

If a person doesn't pay their rent, they risk homelessness. If they don't pay their council tax, they risk prison. If they don't pay their consumer related loans there aren't these serious repercussions. This is why debts get streamed into priorities for repayment.

Also, you should download the MSE budget planner and work through the site to identify where you make savings and how to live ultra frugally - with info on this site, you'd be able to slash the cost of groceries, cheap recipes, find the cheapest telecoms, energy, insurance bills.

You will find links to help you check if you have any entitlement to benefits like housing benefit, working tax credit, council tax discount and so on if you have low income. There is plenty of advice on the site and forum on how to raise funds quickly, up your income in general and really slash back on every living expense imaginable.

If you work out your budget, stick to your budget, find a way to start saving, and get really disciplined with your spending, you'll never get in payday loan hell again, nor get a bad record with your social housing landlord.