Couple Owner Finance Related Questions

[Michael P.]

I have a couple questions hopefully someone on here can answer one or both.

1. I recently sold a house that had a first and a second note I made to the buyer. The second was due and she paid off the principal however she did not pay off the interest. She still owes about 1k+ in interest. What should I do if anything in this situation?

2. When this second came due my buyer didn't payment her monthly payment on the first for that month. I guess she couldn't scrape together enough money. Since then she has paid the next months payment. So basically she missed the June payment but has made the July payment. I am trying to figure out how to apply this to the loan. Is she in arrears indefinitely until she makes good on June? So even though she sent July payment she actually sent June payment is that right?

I need to handle this perfectly as I want to set the correct precedence moving forward. Last thing I want is this to be a common occurrence and I handle the penalty, foreclosure, etc incorrectly.