I’m having an issue with my tenant who’s been here for 2 months. They’ve been e-transferring me 5% less than the agreed rent amount each month. I’ve tried to contact them about this through calls and texts, but they’re not responding. Should I wait to see if they correct it for Sept 1st or take action now? I’m hesitant to involve the LTB because I don’t want to risk losing even the 95% I’m currently receiving. Any advice?
Don’t wait. Start the process now by issuing an N4 notice for the unpaid portion. You should do this every time they underpay. Here’s why:
- It establishes a paper trail.
- It shows you’re serious about enforcing the lease terms.
- If this continues, you’ll need these notices for an L1 application to the LTB.
Remember, in Ontario, there’s no such thing as an ‘end of lease’ - tenants can stay indefinitely as long as they pay rent. So don’t wait for some future date to address this.
Also, make sure all your communication attempts are documented. If you can’t reach them, consider giving 24 hours notice for an inspection. This might prompt them to respond.
Don’t let this slide - it sets a bad precedent and could escalate into bigger issues.
I had a similar situation last yr. Def file the N4 asap. Dont wait.
maybe the tenant is confused about the rent amount? have u tried talking to them in person?
I’ve tried calling and texting, but they’re not responding. I haven’t had a chance to catch them in person yet.
If you can’t reach them by phone or text, it’s time to escalate. Here’s what you should do:
- Serve an N4 notice immediately for the unpaid portion. Make sure it’s filled out correctly.
- Document your attempts to contact them.
- Give 24 hours written notice of entry for inspection. This might prompt them to respond.
- If they still don’t pay the full amount, you can file an L1 with the LTB after the termination date on the N4.
Don’t worry about losing the 95% - by not addressing this, you’re setting a dangerous precedent. The tenant needs to understand that paying less than the agreed amount is not acceptable.
Wat if the tenant is having financial difficulties? Shudnt we be more understanding?
While it’s good to be understanding, it’s crucial to maintain clear boundaries. If the tenant is having financial difficulties, they should communicate this to the landlord and potentially seek assistance or make a payment plan. Unilaterally deciding to pay less without any explanation or agreement is not acceptable.
The landlord still has expenses to cover, and allowing partial payments without any agreement sets a problematic precedent. It’s in everyone’s best interest to address this issue promptly and formally through the proper channels (like serving an N4) while remaining open to communication if the tenant decides to explain their situation.
thx for all the advice. ill serve the N4 tmrw. hope this resolves quickly
Good decision. Remember to keep copies of all notices and document all interactions. If you end up needing to file an L1, you’ll need this documentation. Also, continue to issue an N4 for any future shortpayments. Good luck!