Payment plan for Rent Arreara

Hello All
Advised required.
My tenants moved out in 27th Dec 20 with rent arrears total £1775, after deposit recovery. They agreed with payment plan start from January, however lockdown stopped their business and they said payment plan will be continue after lockdown as their business ( food catering in market place) not operating.
Now lockdown eased and all business reopen so I approached him for rent arrears and they replied with - - I dont have any payment plan
I’ll pay what ever i can afford until i know what the store is making.
Looks like they changed mind as previous signed plan not working well and now how I do know they are earning good or not?
Any mediator can help for fair play? Or. Any legel way to get out how much earning?.
Now worried about my arrears.
Amy help is much appreciate.

If I were you I would try to encourage them into a new repayment plan. If you sue someone who is self employed, the court may only impose a token payment plan anyway because of the difficulty of assessing their income. You will also not be able to use attachment of earnings.

Hi Keyur,

Well done for getting your property back.

Did you say before there was a Guarantor?

Hello Mr T
Yes I got it back after Christmas as tenants found council home and they quickly moved out.
They agreed with payment plan but now they changed their mind. Yes tenants have guarantor in contract. They said they got redundant last year and guarantor never reply of email…
Any advise

Hi Keyur,

In view of his attitude and behaviour so far, think I would write to him and tell him as he’s not stuck to what was agreed, you are going to pursue his Guarantor for the debt which may result in a CCJ and affect his ability to get credit in the future.

Seems they are giving you the run around.

You may have to take legal advice on it. They might then realise they cannot fob you off so easily.

Let us know how you get on. Sounds like you are well rid of them.

Are you reletting?


Hello Mr T.
Thanks for reply
Yes j will take legal advise and hire a Medeator who can explain these all legal word to tenants n guarantor. I will call mediator today. Let’s see how this will go. Do you have any suggestions on/ recommendation who do mediation and all legal advise with reasonable fee.?

Yes house was reletted within four week after previous tenants moved out.

Hi Keyur,

Hope you get some good tenants this time.

Seems the other tenants are taking advantage of your patience and good nature.

There’s someone who I believe is called Gothard Rowe who is often recommended by a landlord on here called @A_A. Looked up the link and it looks like she gives advice and can speak and mediate with the tenants on your behalf.

@A_A Can you help with more information? I will see if I can find the link you have posted previously.

Hopefully someone else has got some suggestions about solicitors/mediators and cost as I haven’t been down that route.

Really hope you get things sorted.
Ms. T.

Tessa Shepperson has just done a package on Landlord Law so you can do it all yourself as Julie is very busy and cannot take on all cases

Anthony Gold and JMW are good solicitors
David Smith is well respected
The NRLA have a series of forms you can send out to respected people, as does Tessa Shepperson

I personally use Stewart Bailey at Hibberts in Cheshire

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Keep it simple, post a “letter before claim” to the guarantor, stating that agreements reached have been broken and you now want pament in full within 14 days or you will commence court action. I am assuming that you checked that the guarantor has recoverable assets, otherwise your on shaky ground.


I personally think you should go softly over a longer time. Just because full lockdown is over, doesn’t mean their market trade bounces back to pre-covid levels with zero debts to recover etc etc. Small businesses may take years to get to a viable new normal.

I would suggest they come up with a new plan. Anything you get is a bonus nowadays - you were lucky to get a good clean exit and should be grateful of that and maybe a bit more empathetic.

The poster has been very empathetic and lenient over a long period of time if you had read the thread.

From the information supplied, it strongly suggested these people were claiming Housing Benefit and not passing it on.

It also appeared they were taking advantage of his good nature and kindness which is why it was suggested it may be more productive to seek help from a third party as they were not reciprocating his understanding or engaging on any meaningful level.
The longer it goes on without any clear
agreement or goodwill gestures the harder and less chance there is of recouperating anything at all.
Agree the LL was very lucky these people were given council accommodation and he was relieved of the burden of having to house them for nothing.

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Oh - yes skim read to the market stall and covid etc… Sloppy. You are right @Mr_T

My apologies @Keyur

Thanks all. David, not to worry.

Mr T.
Finally after using independent mediator, tenants agreed payment plan and signed mediator proper legal document. Tenants given one installation of payment. And 5 more payments every month will come…

Thank you all, specially Mr T your help and advise was greatly appreciated :clap:t2::clap:t2::clap:t2:
Thank you
Kind regards


Hi Keyur,.

Strangely enough, this morning I was wondering how you were getting on!

Thank you for the update and that’s really good to know you have sorted it.

Sometimes I think it bucks up their ideas if an ‘official’ third party involved.

Well done, what a relief for you!


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Hi Keyur,
I’m in a similar situation are you able to share the mediator you have used, please?

Many Thanks,