Late Rent Excuses and How to Deal with Them

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Paying rent is one of the top responsibilities that tenants must prioritize to keep their tenancy. The survival of the landlord’s business depends on rental payments for income. When a landlord provides a habitable place for a tenant, the latter must do his end of the bargain by paying rent on time in exchange.

A landlord and tenant have entered into a binding contract once they sign a lease agreement, which means both parties have to follow the terms stipulated in it, including paying rent on a stated date. Defaulting on payment is a violation of the lease, so a landlord has legal cause to take action.

Despite the legal implications for the non-payment of rent, some tenants still default on the financial obligation. Most of the time, it comes with an excuse, hoping that the landlord will consider. However, some tenants make up such excuses because of their unwillingness to spend money. A landlord must know how to handle these excuses.

The Not-My-Fault Excuse

One of the most popular excuses that fall under this category is when tenants say, “I sent it via mail two days ago. Maybe the post office lost it.” This one’s a classic blame-the-postman strategy. When in reality, they didn’t mail the money. They only know that it would be difficult for the landlord to trace it. They may use this as a delaying tactic, but there won’t be any sanction on their part because they will claim that they paid on time and it’s not their fault of the post office failed to deliver it.

The Guilt-Tripping

Some tenants go for an emotional manipulation tactic. They will make the landlord feel sympathy for them or feel guilty for asking for payment despite their crisis. sample excuses include:

• “I had to deal with a medical emergency. All my money went to paying for medicines and hospital bills.”
• “I had to prioritize the groceries so I can feed my children. Everything’s so expensive these days.”

If we based it on emotion, situations that involve illnesses or loves ones struggling warrant sympathy. However, in business, feelings are just one factor.

The No-Money Excuse

It’s simple: they don’t have any money to pay rent. That’s the excuse. Commonly used lines include: “Business has not been doing well” or “I don’t have any savings left because there were circumstances beyond our control.”

There are thousands of other excuses that tenants can make. Don’t get me wrong, some of them may be true, and they genuinely deserve human consideration. However, one needs to be realistic and consider the survival of the business.

Ways of Dealing with Late Rent or Non-Payment

• Take Caution in Giving Considerations

When a tenant is giving excuses, a landlord must never decide on the spot about considering them. There are times when one needs to grant them a bit of human consideration if the unfortunate circumstance hindering them from paying on time is legitimate.

However, be very cautious when and to whom to grant that consideration. Bad habits often develop with one opportunity. It may also set a precedent for other tenants because they will say that they should also get the same consideration.

• Charge Late Fees

The purpose of charging a late fee is not solely for earning more. A landlord who considers late payment without any consequence will be giving an impression that he is a pushover or easily manipulated. It also shows that he is not strict about delayed rental payment. A late fee will still discourage tenants from defaulting on their rent.

• Evict when Necessary

Tenants who don’t pay rent is a poison that would kill a landlord’s rental business. Sometimes, a landlord has no other choice but to evict tenants who are bad for their business.

Even though the eviction process can be tedious and stressful, it should not hinder the landlord from taking such measures for the sake of his business.

• Credit and Income Checks

When rental agents publish listings on Padleads, they must conduct thorough background checks on applicants to make sure that they:

• do not have a history of default payment, based on their rental history report and their previous landlords’ recommendations
• have enough savings and assets under their name
• have a steady stream of income
• have a good credit score

Screening tenants may not be a perfect system that guarantees a 100% success rate, but it is proven to minimize having bad tenants.

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