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Carson Campbell
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Late Fees and Eviction Proceedings

Carson Campbell
Posted

Hi BG Community,

I started renting my first property in May of this year on a 12 month lease. The tenant paid the first two months up front, and then paid each month on the 1st as we agreed upon in our contract. Last month the tenant paid a day late but I decided against applying the late fee. I send the invoice via email and then let him know I sent it via text. Its the 4th now and he hasn't paid or responded to my initial text on the 1st asking if he received it, or my follow up text yesterday. 

At what point do I notify him of the late fee and or consider eviction proceedings? My initial thought was I'm more than happy to be flexible if he would at least communicate why he hasn't paid it or when he will/plans to. 

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Joe Villeneuve
#5 All Forums Contributor
  • Plymouth, MI
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Joe Villeneuve
#5 All Forums Contributor
  • Plymouth, MI
Replied

You notify them of the late fee on the 2nd of every month they are late.  DON'T establish the fact you will "draw the line in the sand"...and keep backing up...ever.  What I'm saying isn't being mean, it's being a responsible landlord, and expecting the tenant to be a responsible tenant.  If at any time you think you want to be a "nice guy" and delay a late payment, you NEVER do it the first time they are late.  You wait until they establish a pattern of responsibility (paying rent on time) of at least 8 months before you give them a break...and only one break...and you let them know that this is the only time this will happen.  The next time they are late, they WILL be charged a late fee...and when that next time occurs (and it will), you MUST charge that late fee.  IF you don't follow through with what I just wrote, you will have a tenant making late (and later and later) payments all the time.

As far as the eviction process, here is what I would recommend you do:

1 - Go to your local court, where they handle the evictions, and ask them what the process is...timelines, steps, etc... (this includes fees).

2 - Find out the day of the week the court handles the evictions.

3 - Before you have to evict someone, spend the day, that day, at the courthouse as an observer.  Watch and listen...mostly listen, to what to say, and mostly what NOT to say.

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