I’m not a charity: Is it time to issue a Section 21?
Hi, I’ve been a landlord since 2005 and I’ve never issued a Section 21. However, I’m about to change that as I have two tenants that are behind in rent payments,one owes £600.00 and the other owes £2,500.00.
In my efforts to be reasonable I have agreed payment plans for both of these tenants. The one owing £600.00 does make a regular payment to reduce the debt.
The other tenant is now unable to work and has been in touch with social services to increase her benefits to pay rent but the debt is not reducing.
The social workers are now questioning me about the payment plan that I set up and why I’ve charged this troubsome tenant interest of 10% on the amount of unpaid rent. I’ve been made out to be the villain in this situation, a situation not of my making.
I’m not a charity and I’ve had enough of the aggression from the social workers wanting to know about my finances and why I’ve charged interest on the unpaid rent.
I’ve never issued a section 21 and always tried to help tenants when they fall behind in their payment, but I’m about to change that helpful nature and I want this tenant out.
Do any Property118 readers have any advice on how to handle this situtation?
Thanks.
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Letting agent withdrawal fees?
Member Since January 2015 - Comments: 1447 - Articles: 1
9:04 AM, 6th July 2024, About 2 years ago
Your tenancy agreement should state the interest % payable ie Bank of England base rate. Or x% above the BoE base rate.
Member Since August 2014 - Comments: 336
3:40 PM, 6th July 2024, About 2 years ago
Reply to the comment left by Chris A at 04/07/2024 – 23:39
These aren’t always a good idea. If the tenant has been claiming for something that they are not entitled to it is the landlord that the DWP will come to for a refund of overpaid rent.
One of my tenants who had 3 children was entitled to have her rent paid up to the Local Housing Allowance amount, for a 3 bed property. Unknown to me, she had sent 2 of her children to go and live with their father, and not bothered to inform DWP of this change in her circumstances. She is now not entitled to as much rent and is now falling further and further behind. But because the DWP pay her, and in turn she pays me, the DWP have to reclaim the overpayments from her, and not me.