SMF - Just Installed!

Tenants not paying rent and we didnt protect the deposit HELP

Started by deejade, May 02, 2014, 04:33:19 PM

Previous topic - Next topic

deejade

Hi our tenants have been in the property for 2 years the deposit is in the ladies name she married 8 months ago so he is there also BUT they have messed us about with the rent always late and now not paid since jan we have giving them lots of chances and now we are at our wits ends  I know I cant serve them a sec 21 as  we didn't protect their deposit so any ideas??? did think of giving them the deposit back as they are in arrears and getting her to sign for it and then she can pay some rent up and give her a chance to catch up say 2 months and then maybe a sec 21 can I do that???  I know they don't want to move so that's a bonus but we want to get rid now please help thanks in advance

Hippogriff

Let's start with some high level stuff...

Serving a Section 21 is a nice safe way of evicting a Tenant... it's no reason required and will be successful. Section 8, for things like rent arrears, can sometimes be challenged.

To be able to serve a Section 21, you do need to have protected the deposit, which you admit you haven't, and you already knew anyway.

So, for you to be able to serve a Section 21, if that's what you desire to do, then you must return the deposit first. There's no way around that. If you pay it back, please make sure you can prove it - cashed cheque, bank transfer, signed receipt etc..

However, I am going to assume you already know about potential penalties you might incur for failing to protect the deposit.

Otherwise, you could do more research into Section 8 and select which Grounds apply to your situation and elect to go down that route.

I've not been in this situation, myself, but I would prefer to resolve any deposit issues before issuing any notices to the Tenant.

deejade

Thankyou I had decided to offer the deposit back with them signing to say they had received this but before that ask them to pay it back to count of their rent arrears so I am sure they will agree and they want to stay there so I guess they will sign something saying they will pay regularly from now on and date it does that sound ok also what would you do they always pay late and sometimes miss a month quite often but we keep being nice as we like them and they love the house but I think we have to sort this so sec 8 or 21 best idea thanks for the help Denise

Hippogriff

The simple fact is that you have a Tenant who you know pays late or sometimes misses months and you, yourself, are consciously allowing this situation to continue.

You either want them to leave - Section 21 is guaranteed - or you don't.

You should probably be more concerned that, when you evict the Tenant, they will sue you for the penalty for not protecting their deposit correctly. Offering the deposit back to them - and trying to use it to offset current rent arrears(?) - does not mean you have avoided the potential for the Tenant suing you up to 3x the original deposit amount. At the moment you appear to be unconcerned about that aspect. I would not be unconcerned about this if this Tenant, that you like, may not soon like you very much.

What would I do?

I would have correctly protected the deposit and I would have started the process of evicting the Tenant at the first sign of rent arrears (via a Section 21 if I could, depending on fixed term etc.) or Section 8 if possible (enough arrears had built up).

boboff

Well these things happen.

Return the deposit, get the rent.

Go and speak to them see if a compromise can be reached.

At this point you would be better of writing off the debt and starting afresh with them, be nice, and they might be nice back.

But be clear to them it's last chance Salon, if they are late again, you will issue a Section 21.

That is what I would do, and I know I would be annoyed when I loose another two months rent in a months time, but you have to have faith in people, and just maybe, maybe, things have changed for them and they pay your rent on time for the next 5 years with no bother.........