How Do I Handle A Tenant Who Is Late With Rent Payments?

Begin with open communication and documentation. If lateness continues, issue a Form N4 notice and, if unresolved, apply to the Landlord and Tenant Board (LTB).

Communication and Documentation

• Speak with the tenant to understand the reason for late payments.
• Emphasize the importance of paying on time and how delays affect the tenancy.
• Keep detailed records of payment dates and save all emails, texts, and letters about rent arrears.

Issuing a Formal Notice

• Serve Form N4: Notice of Rent Arrears, which gives the tenant 14 days to pay the overdue rent.
• The notice must include the amount owed and the due date to correct the issue.

Exploring a Payment Plan

• In some cases, restructuring the rent schedule in writing can resolve the problem.
• A payment plan shows goodwill, preserves the tenancy, and may avoid escalation.

Escalating to the LTB

• If the tenant does not resolve the arrears, file an application with the LTB.
• Prepare supporting documentation: the lease, payment history, notices, and communication records.
• The LTB will hear both sides and issue a binding decision.

Preventing Future Issues

• Screen tenants carefully using credit checks and landlord references.
• Outline rent payment terms clearly in the lease agreement.
• Encourage automatic payments to minimize the risk of late rent payments.

The Fox Marin Team helps landlord clients understand Ontario’s rules for late rent, protecting their financial interests while ensuring compliance with the Residential Tenancies Act.

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