What do you think about charging tenants late charges?

[fastfredracing]

I am pretty sure we are going to move ahead with it. The thing I hate the most in business is collecting past due bills. I pay my feekin' bills on time, I expect to be paid on time. I always tell my tenants , if you are going to be late, just call us, and let us know when you can have the scratch, buy you know how people are, They will instead blow you off.
It is the typical run around, I hate hearing the excuses, then they will not answer your call ( between my partner and I , we have about 7 different phone #'s ) so we always manage to sneak a call in, but it grows old when you know they are dogging our calls.
The way I look at it, it is a bunch of extra work to baby sit, and keep calling, and stopping in when they are behind, so we may as well get paid for our aggravations. Hopefully, this will motivate them to pay on time.
My partner and I play good cop ,bad cop, unfortunately , I am bad cop, but after 3-4 weeks when these deadbeats keep ignoring us, I usually resort to banging on their front doors at 10:30-11;00 at night, and by then I am usually steamed, and I like to mention the E word. The rentals are about 30 minutes away from my home, so this is a big time suck for me when I have to resort to it.
What does the pelican brain trust think about this?

[schamp]

I charge late fees. I will also file suit via my computer to have them thrown out. I, like you have told them to call, let me know something. Silence gets you evicted and sued, along with 7 to 10 year hit on your credit. I get tired of being lied to. Tell me the truth, and I will work with you.

[wdfifteen]

I'll let you know after the 17th. That's the court date for my suit against my tenant. She agreed to late fees in the contract, but that is one of the things she is disputing having to pay (along with her last month's rent and 3 months of water/sewer bills she didn't pay - she isn't living in the real world).

[Rikao4]

the fact that you don't tells them..
no hurry...
that you give them 4 weeks to jerk you around..
even more..

Rika

[on2wheels52]

I don't even want to think how rich I'd be if all my pawn customers paid up every month.
Jim

[g911]

Business is business. We all want to avoid conflict or confrontation. I recommend a book called the "scrupulous landlord". Last one I had was in the 7th edition in the 1990's. I think you will find it a good way to work within the confines or landlord/tenant laws and limit the downside. Good tips on establishing the foundation of landlord and tenant expectations. It also helps in maintaining a good relationship with a tenant, while not being a cold hearted individual. I got no use for absentee landlords, they are worthless. Just my 2 cents.

[Dantilla]

Simple.

My rental agreement states rent is due on the first, and is late if not recieved by the end of business hours on the fifth.

On the sixth, anybody who hasn't paid gets a 3-day notice to pay or vacate. That gets their attention, and they are not late after that. And yes, if you pay on the sixth, late fees are due, and will be collected.

If they haven't paid in the time alloted by the 3-day notice, eviction proceedings begin.

[schamp]

It's amazing how tennant's get pissed when you sue them for eviction. Even more so when you file for garnishment. They eventually figure it out. Here in Georgia, if they answer the suit they get an extra week in the rental unit. They get kicked out but get an extra week to leave. Sometimes it better to let a unit sit for a bit and not take the first that comes along.

[Superman]

Tenants are like dogs and children. They need to be taught the rules. Fail to properly teach them the rules, and you (Landlord) are asking for trouble.

[Dantilla]

Originally Posted by Superman

Tenants are like dogs and children. They need to be taught the rules. Fail to properly teach them the rules, and you (Landlord) are asking for trouble.

+1.

I used to be a part owner of a large apartment complex. We had a couple residents that would try to push the limits every time there was a new on-site manager.

After being charged late fees and/or getting an eviction notice, they once again knew the rules, and played accordingly.

[dipso]

I have a designated account set up for the rentals. My tenants deposit thought direct deposit.
It is easier for me and them.
No postmarks on the fifth disputes, no "check is in the mail" problems, and I can just check online anytime to check if a deposit has been made.
There is also a record of when the deposit was made.

Late fees can come out of the deposit upon leaving, if you want to do it that way.

[GDSOB]

Originally Posted by Dantilla

Simple.

My rental agreement states rent is due on the first, and is late if not recieved by the end of business hours on the fifth.

On the sixth, anybody who hasn't paid gets a 3-day notice to pay or vacate. That gets their attention, and they are not late after that. And yes, if you pay on the sixth, late fees are due, and will be collected.

If they haven't paid in the time alloted by the 3-day notice, eviction proceedings begin.

Really the only way to do it. Your bank works te same way. If they are late more than 10 days odds you'll never see the rent. If your tenants are low income, you probably will never be able to collect ( even with a judgement) oncenthey are late. tenants need to understand NO PAY, NO STAY!

[304065]

How to Manage Apartments for Maximum Cash Flow and Resale Value

by John T. Reed, still published.

The single best book on apartment management there is. Very easy to read and logical. Hell, it's one of the best books on human behavior and management there is. I recommend it highly.

Anyway, he would tell you absolutely yes, and summary proceedings too.

[Hugh R]

I'm the president of my HOA, we have late fees, if we didn't NO ONE would pay until the end of the year. In the mean time the monthly bills have to be paid.

[Evans, Marv]

When I owned rental property, I did it just like Danilla described. Strictly business and everything from my end happened on time.