If you’ve ever managed a rental property – or dozens of them –you’ve heard it all.
"The dog ate my debit card." "I switched banks and forgot to update my info." "I just needed a few more days." "My paycheque didn’t clear in time."
Some excuses are valid. Others are more creative. The key for any landlord or property management company is to set clear expectations, handle delays professionally, and have systems in place to reduce the likelihood of late payments in the first place.
Let’s break down the top excuses for late rent, and more importantly, how to respond to them.
1. “I forgot rent was due.”
This is surprisingly common. Some tenants genuinely forget – it’s not malicious, it’s just life.
How to handle it: Automated payments are the best solution. Use a payment platform, or if your tenant’s online banking system will accommodate recurring payments, that’s great too. Another best practice is to send reminders a few days before rent is due. This will keep rent top of mind, eliminating the tenant’s ability to use this excuse.
2. “I had unexpected expenses.”
Car broke down. Pet got sick. Life threw a curveball.
How to handle it: Empathy goes a long way, but so does consistency. A one-time payment plan or short grace period is okay, as long as it’s clearly documented and not repeated. Always refer back to the lease agreement, and follow up in writing to confirm expectations.
3. “I changed banks and forgot to update my info.”
It’s a technicality, but it’s still a delay.
How to handle it: This excuse is likely a one-time occurrence and, hopefully, there’s a slim chance of it happening again. However, it’s still a late payment. It’s important to convey that future late payments will not be tolerated.
4. “I haven't been paid yet."
For tenants on irregular pay schedules, due dates can be a tough fit.
How to handle it: Renti's best practice is to address finances before a tenancy commences so that we can align payment dates and tenant lease start dates with a tenant’s pay periods, whenever possible. Many people are living paycheque to paycheque, so it’s not uncommon that you’re met with insufficient funds when a paycheque hasn’t cleared.
Communicating expectations upfront
It’s important to have discussions with tenants upfront to ensure they understand the importance of on-time payments. My business always discusses best practices regarding options to help when money’s tight – our most successful solutions are for the tenant to enroll in overdraft protection with their bank, contribute small payments to an emergency fund each month, and take out a line of credit for times of crisis.
Following local landlord and tenant laws
Your local laws may differ from mine, but you may be able to utilize a similar process. RENTI is a property management company in Ontario, and we’re allowed to serve a notice of eviction for non-payment the day following the due date. We always recommend starting this process immediately. You can serve it along with a friendly message that it’s a formality, and you’re sure the tenant will make the payment, but you have to start the process nevertheless. Most tenants will have the money in your account the same day.
Starting an eviction process is important, because, should you need to follow through with it, many areas have backlogs of weeks or months before a tribunal hearing. Getting started early will save you time and money.
Systems > stress
It’s easy to get frustrated by late payments, but prevention is always better than confrontation, and communication is key. The most effective property managers focus on:
- Automating rent collection
- Clear communication
- Well-written lease agreements
- Firm but fair enforcement of terms
We hope these tips will ease communication with your tenants, keep the rent payments flowing, and improve returns on your investment while providing a great experience for your tenant.
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Adrian Trott is the co-founder of Renti, a modern property management company helping landlords simplify their rental experience, and the Kormendy Trott Team, one of Canada’s top-performing real estate teams. With a passion for creating systems that work and a relentless drive to deliver value, Adrian brings a wealth of hands-on experience in real estate and property management. Whether you’re a first-time landlord or a seasoned investor, his insights come straight from the trenches.
