Landlords are aware of the importance of communication especially in terms of paying rent for a house or apartment. They should be clear about the price of rent. They also have to put down everything in writing, including the late fees as a consequence of not paying on the due date. This way, tenants will avoid paying late just because they do not know the exact date when the rent is due. In addition, this would help tenants set aside a budget for rent. They should know the amount to pay and the date to pay it.
When preparing the new rental agreement, landlords should make sure that the tenants put their signature and date on all pages of the documents to serve as proof that the tenants have read and understood what is written on the lease agreement and landlords should give them a copy of the signed document.
Talk to the tenant to know the reason for late payments.
Tenants may have just forgotten the due date or they did not have sufficient funds to pay the rent. Whatever the reason, landlords can discuss whether changing the payment or due date could help. As an example, they may opt to make smaller payments more frequently. Tenants could also set up a direct debit that will make it less likely for them to forget paying on time.
Landlords can let the tenants choose the date and frequency of payments that are most convenient for them. When they set up a direct debit, tenants will not be worried about missing the monthly payment. Also, landlords do not need to spend time and effort on following-up late payments.
Charge fees for late payments
When tenants are charged for late payments, this will encourage them to pay rent on the due date. The rental agreement should be clear about any late payment fees.
Give a discount for paying on time.
Property manager companies may like to consider giving a little discount to tenants who pay rent on time. This small gesture can encourage tenants to always pay on time. This also reduces the amount of stress and time used in following-up late payments.
The best thing to do is give a discount to tenants who pay by direct debit. This payment method allows rent to be automatically deducted on the due date every month. With direct debit, property manager companies will know if a payment has failed. There is no need for them to check their bank statement since they know what happened.