Advice needed please: tenant keeps paying rent late

Emanef

Thanks for all the replies guys, very helpful, I think it's best if she writes to them first and see what comes of that.

It's not a business and came about due to a relationship breakdown, so wasn't something she would have forseen but is getting on top of it, it's just meant fine lines for while whilst she does.

Thanks again

Pixie5740

It doesn't matter how one comes to be a landlord, it is a business. Your relative has certain legal obligations which she must meet or any tenant with an ounce of savvy could make mincemeat of her. Late rent payments could just be the tip of the iceberg. If being a landlord isn't for her then she needs to sell the property sooner rather than later.

moneyistooshorttomention

jjlandlord wrote: »

Unfortunately "her own costs" are her responsibility.

Late or missed payments happen: She should have a buffer on her account.
If she does not, it may suggest that she is having financial difficulty herself.

I disagree.

I think it would be perfectly fair to charge interest on late rent. After all, it's not uncommon for firms to charge interest on accounts that aren't paid promptly. This is a business transaction after all.

Emanef

Thanks again.

One other question actually. When I asked her about the notice period they have to give she said it was only two weeks. From what I understand of ASTs they are statutory agreements and things like maximum/minimum notice periods are already defined and additional clauses often aren't worth the ink they're written with? It sounds like the orginal expired and it's now on an assured periodic, but from a legal point of view, if either party (ie tenant or landlord) wanted to end the tenancy and the other person challenged the two weeks notice, where would they likely stand? Would the two weeks be enforceable, or would the normal two months (?) of AST law apply?

This question is more from my curiosity, but it could potentially come up at the end of the tenancy and it would be good for her to be prepared!

Pixie5740

moneyistooshorttomention wrote: »

I disagree.

I think it would be perfectly fair to charge interest on late rent. After all, it's not uncommon for firms to charge interest on accounts that aren't paid promptly. This is a business transaction after all.

Yes but the charges should be set out in the contract.

Pixie5740

Emanef wrote: »

Thanks again.

One other question actually. When I asked her about the notice period they have to give she said it was only two weeks. From what I understand of ASTs they are statutory agreements and things like maximum/minimum notice periods are already defined and additional clauses often aren't worth the ink they're written with? It sounds like the orginal expired and it's now on an assured periodic, but from a legal point of view, if either party (ie tenant or landlord) wanted to end the tenancy and the other person challenged the two weeks notice, where would they likely stand? Would the two weeks be enforceable, or would the normal two months (?) of AST law apply?

This question is more from my curiosity, but it could potentially come up at the end of the tenancy and it would be good for her to be prepared!

No, 2 weeks notice isn't sufficient notice to end a Statutory Periodic Tenancy. Putting a clause in the tenancy agreement does not override statutory law. It should also be noted that the landlord serving notice doesn't end the tenancy as a tenancy can only be ended by the tenant or a court.

Should your relative go down the route of issuing a Section 21 it is vital that she issues the right Section 21 and gets the timings correct. Was a deposit taken? If so was it lodged in one of the deposit schemes correctly? Was the prescribed information given to the tenant at the start of the original tenancy and again at the start of the Statutory Periodic Tenancy. The deposit protection is important as if done incorrectly the Section 21 will be invalid.

If a valid Section 21 is issued and the tenant does not move out then your relative will have to go to court to get a possession order.

mrginge

Emanef wrote: »

Thanks again.

One other question actually. When I asked her about the notice period they have to give she said it was only two weeks. From what I understand of ASTs they are statutory agreements and things like maximum/minimum notice periods are already defined and additional clauses often aren't worth the ink they're written with? It sounds like the orginal expired and it's now on an assured periodic, but from a legal point of view, if either party (ie tenant or landlord) wanted to end the tenancy and the other person challenged the two weeks notice, where would they likely stand? Would the two weeks be enforceable, or would the normal two months (?) of AST law apply?

This question is more from my curiosity, but it could potentially come up at the end of the tenancy and it would be good for her to be prepared!

Just go with whatever you want. As it's not a business you don't have to bother with legal requirements.

Emanef

Thanks Pixie. I'm not sure how they did it, I'll forward that on to her so she knows.

jjlandlord

moneyistooshorttomention wrote: »

I disagree.

I think it would be perfectly fair to charge interest on late rent. After all, it's not uncommon for firms to charge interest on accounts that aren't paid promptly. This is a business transaction after all.

I think you disagree with something I haven't said.

Yes, the landlord can charge interests or even a fixed admin fee in case of unpaid rent.
However, as already mentioned, the tenancy agreement must include a clear provision to that effect.

In any case, there is little point to charge interests if the rent is paid late but reasonably quickly: You'll end up spending time on admin and on chasing the tenant just to collect at best a few extra pennies.

agrinnall

mrginge wrote: »

Just go with whatever you want. As it's not a business you don't have to bother with legal requirements.

I think you're missing a from that post.