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Tenant constant late payment

Posted: Mon, 13 Jun 2016 3:21 pm
by Gavin440
Hi, currently I have one tenant over at Premier @ Kaki Bukit who always late on their payment by 7 to 14days. Before renting the place to them we agree for the cheque to be mail to us so I do not have to go over and collect it from them. Recently it getting harder to contact the tenant and when I go over to the unit I have to get the office number from the staff over there as their office is locate at another place.

What I would like to know is that is there anyway that I can make the tenant to make their payment on time, as I'm using this rental to help pay for the unit too.
I heard that I can engage a lawyer write a letter and give them a warning of sorts and ask them to pay for the cost of that letter. (Not very sure as I heard it from my friend)

Re: Tenant constant late payment

Posted: Mon, 13 Jun 2016 3:26 pm
by x9200
Gavin440 wrote:Hi, currently I have one tenant over at Premier @ Kaki Bukit who always late on their payment by 7 to 14days. Before renting the place to them we agree for the cheque to be mail to us so I do not have to go over and collect it from them. Recently it getting harder to contact the tenant and when I go over to the unit I have to get the office number from the staff over there as their office is locate at another place.

What I would like to know is that is there anyway that I can make the tenant to make their payment on time, as I'm using this rental to help pay for the unit too.
I heard that I can engage a lawyer write a letter and give them a warning of sorts and ask them to pay for the cost of that letter. (Not very sure as I heard it from my friend)
You can not make them to pay for your lawyer (at least as of this stage) but what you can do is to read the tenancy agreement and tell us how the payment was agreed to be made, what should be the timing and what is agreed if the payment is not made in time.

Re: Tenant constant late payment

Posted: Mon, 13 Jun 2016 3:50 pm
by PNGMK
Depending on the contract as x9200 says. If you were smart you'd have had default penatlies written in which you now enforce. Your tools are;

1. The contract
2. Letters of default (and interest if the contract calls for it) from a lawyer
3. Summons to SCT for no payment

Next time avoid cheques and insist on electronic payment on the date or you will levy interest and a late payment fee.

Re: Tenant constant late payment

Posted: Mon, 13 Jun 2016 7:19 pm
by JR8
Gavin440 wrote:Hi, currently I have one tenant over at Premier @ Kaki Bukit who always late on their payment by 7 to 14days. Before renting the place to them we agree for the cheque to be mail to us so I do not have to go over and collect it from them. Recently it getting harder to contact the tenant and when I go over to the unit I have to get the office number from the staff over there as their office is locate at another place.
What I would like to know is that is there anyway that I can make the tenant to make their payment on time, as I'm using this rental to help pay for the unit too.
I heard that I can engage a lawyer write a letter and give them a warning of sorts and ask them to pay for the cost of that letter. (Not very sure as I heard it from my friend)
Have you spoken to the tenant and asked him what the problem is? And explained to him what a problem it is causing you? This assumes you don't have an agent managing the tenancy, but if you do what are they doing about it?
Why do you receive rent by cheque? That gives the tenant some discretion every month to physically write out and post rent payment. It makes it simple for him to find excuses. Your now trying to visit him to collect rent makes it simpler for him still: he just has to avoid you and now [perhaps in his mind] it's your problem not his.

The places I've rented have always required payment by giro -> no room for excuses. I'd talk to the tenant, find out what the problem is. Maybe he's going through a tough financial patch, but in such circumstances as a landlord if you show some understanding and work cooperatively until he's back on his feet you can get rewarded with a grateful tenant who might stick around for years. The opposite approach is engaging a lawyer who is going to charge you fees to likely make the situation far worse than it is now.