UK Landlord Forum / Life

Hi, the current tenants are moving out. Their 1 year agreement began on 18 August 2014 and ended on 17 August 2015. They were given 2 months standard notice on 26 June 2015 that the tenancy would end two months from then so they would hand back keys on 26 August 2015. The one year agreement had written into it that it would become a periodic tenancy after the first year ended then 2 months notice either side to be given to leave.

So we have all agreed that their last day is 26 August that is fine. But, the problem is that one of the two tenants had it in her head that the tenancy started on 26 August 2014 because the move out date was 26 August 2015. They have copies of the tenancy agreement with the correct start date, so do I and so does the agency that found them. So I have resent this to them and also various other emails and information from them and the agency showing them that the tenancy actually began on 18 August. One of the girls, not the one, who claims that she moved in on 26 August also sent me an email in June acknowledgint the tenancy ended on 17 August 2015, which I sent back to them both.

Well, the have decided not to pay the last 8 days rent. So now I will have to take it out of the deposit. And, after emailing them the contract that they signed and we all have a copy of. I have had no reply from them disputing that they moved in on 18 August but also they have not paid the rent. So, I will have to deduct this from the deposit.

There is a clause in the tenancy agreement put in the agency that says that the landlord is allowed to charge 3% above the base of england bank rate that is calculated day by day if a payment is late. So they owe about £460.


So if anybody has had this situation as it is fairly common the tenant goes, oh just take it from the deposit in their head. Would you charge the interest or just simply deduct the money owed. Let's say for example (only not actual figure) the rent is £50 per day and they owe 8 days for each of those days that £50 is owed.. would you charge the 3.5%? So that would be £1.75 do that would be an extra £14. They used to be all sweetness and light while they were there then now it is the sour grapes about moving out.

So the girl who said she moved in on 26 August now says nothing to try and say that was the move in date but neither of them will pay their rent either.

Thanks for any opinions. I would like to know if any landlords have actually charged interest and it was acceptable if it says it in the tenancy agreement?

I don't think I will do it. Just get what is owed but they really should be taught a lesson you honour an agreement - especially if the landlord always fixed everything never disturbed their privacy, etc.

Thanks!

Quote from: AJW on August 19, 2015, 06:15:56 PMThe one year agreement had written into it that it would become a periodic tenancy after the first year ended then 2 months notice either side to be given to leave..................................There is a clause in the tenancy agreement put in the agency that says that the landlord is allowed to charge 3% above the base of england bank rate that is calculated day by day if a payment is late. So they owe about £460.

Sounds like this 'contract' you have is a load of rubbish.  You can't write things in like '2 months notice required' when it is the law and set out in legislation that it is 1 months notice that has to be given, also ALL fixed term tenancies go periodic after their fixed term.

Also your unfair clause of 3% above BOEBR doesn't even seem calculated correctly either and would pretty much be unenforceable.  The 3.5% that YOU have set works out to be 0.0095890410958904% per day.  How the heck have you arrived at £460?

Your £50 per day 'for example' would net you a whopping 0.0047945205479452p per day.  Great get rich quick scheme you have there.  After the 8 days have passed you could have 8 x  0.0047945205479452 = 3p

I wonder if the tenant is as bad as maths as you or if they work out they can chuck you 3p to keep you happy.

And if you think my maths are wrong, how about this for a sum for you, the BOEBR is an ANNUAL interest rate that you have decided, for some bizarre reason to turn into a DAILY interest rate, which, I calculate would be a BOEBR of 182.5% per year, add on YOUR 3% and you think you can charge the tenant 1277.5% charge per year???

Get real.  Funny story of the day.

Nope not a get rich scheme mate. The agency wrote the contract. A different question was asked then what you said but that is fine you can think and jump to any conclusions you want as you have. Didn't understand what I wrote no one is trying to charge huge percentages each year.

You asked if you should press and pursue for the £14 'interest' payment.  I was trying to point out that your daily interest charge of £1.75 was out by a factor of 365 as it should be just under half of a penny per day.

Riptide is correct, your sums are wrong (kinda massively)... conclusion here, as it always is, is that this is a waste of time unless the debt is large and / or outstanding for a long time.

BTW, Government's own web pages say charging 8% is acceptable... still doesn't help you here, much. Although I can double your 'winnings'.

Quote from: AJW on August 19, 2015, 06:15:56 PM...especially if the landlord always fixed everything never disturbed their privacy, etc.

You can't say this as though it's some wonderful thing. It's what any Landlord should do, as a minimum. You don't get special consideration for doing what you're supposed to do.

Doesn't the notice run from the next rent day?

So the notice given 26th June, would in effect have been for the 17th September?

So in effect you haven't given enough notice, which is illegal, so I would not deduct or charge anything.

I think he's gone... didn't like what he heard.