Can I receive UC payments when possession order has been applied for with arrears

Landlord Discussion Legal
1

Hi, we are sadly evicting our tenants (they want to be rehomed as they have fallen out with neighbouring family and this is the only way it will happen). They were being paid by housing benefit, but this has been reduced due to new live in partner and this is trigger point for the eviction. They have been served section 21 notice, council told them to remain until court order is made. However, they are now claiming rental help through universal credit and we have been advised that they will pay us directly as landlords some of the rent monies. Can we accept this rent if we are trying to get the house back because of the arrears or should we refuse it? Tenants are not being given great help from council and we are not aware of the system ourselves. They will never be able to pay the rent in full now and need to downsize their home. We hoped that we would not have to proceed to court as it is only adding to tenants charges and grief, thought councils stopped telling tenants to wait for bailiffs? Any advice appreciated,thanks

2

Sorry just re read my post. Section 21 has expired on Sunday. Court application for possession has been made, hearing date 19/6. Can we accept UC rent payments , short every month by 1/3rd minimum at this stage or do we have to return it as it is not allowed at the court order stage? Thanks

3

Hi Estelle, thanks for your post.

I’m sorry to hear of the issues with this tenancy.

This is a bit of an unusual one. I’d suggest that if the rent payments are being made by the council, that they would be best-placed to advise on whether/how long/under what circumstances they’ll pay out.

Otherwise perhaps some other landlords on here will share any experience they have of this situation.

Thanks,
Simon

4

Thanks Simon

It is not a hassle for us, more of a learning curve. Tenants want to move and it’s the council that is insisting on all this which is only adding to their debt which was only £300 after the deposit is not given back. Crazy system they operate but most do apparently although it is not how they should any longer! So, because it was a section 21 the tenancy doesn’t end until the bailiffs kick them out so still ok to accept their rent until then. We did let them know it was under possession notice though.

Thanks