Just after a bit of help, if possible. I moved into my new property back in January. I paid the rent in advance on the 10th January, and the deposit on the 23rd. My tenancy started on the 25th January and that was the soonest I could access the property. My regular payment date is the 20th of each month?
Given that my tenancy didn’t begin until the 25th, does that mean that my rent shouldn’t be due until the 25th of each month?
I appreciate I may be totally wrong but just thought I’d check with those that may be in the know.
so the rent you paid in advance should have covered the period between the 25th Jan to 24th Feb and so on. The fact that you’re actually making the payment on the 20th simply means that you’re paying a few days early each month. I take it that your tenancy agreement says that you should pay on the 25th, right?
What’s the deeper issue? Why are you asking us about this? And why did you set up a standing order that goes out on the 20th?
TERM
RENT
SECURITY DEPOSIT
The term of the tenancy commences on 25 January 2025 and ends on 24 July 2025 (the
“Term”).
4.
Should neither party have brought the Tenancy to an end at or before the expiry of the Term,
then a new tenancy from month to month will be created between the Landlord and the
Tenant which will be subject to all the terms and conditions of this Agreement but will be
terminable upon the Landlord giving the Tenant the notice required under the applicable
legislation of England (the “Act”).
5.
Subject to the provisions of this Agreement, the rent for the Property is £970.00 per month
(the “Rent”).
6.
The Tenant will pay the Rent in advance, on or before the 20 of each and every month of the
Term to the Landlord by standing order or electronic payment using an online money transfer
service. The first rent is payable on or before the 15th January 2025.
Ahh, when someone else says it it makes sense. It wasn’t any issue (hence why I never questioned it until now) but have recently started a new job and the pay day falls on the 24th, so I had approached my LL about changing the day. She said it wasn’t possible, so I wondered if the question about difference in dates may come in handy.
yeah, in this scenario, the “in advance” in your AST is vague. It could mean in advance of the date it’s due and/or in advance of the month it’s due. The LL has inserted this for their own purposes and they prob couldn’t do a lot about it if you actually changed the date (as long as you pay by the 25th) because i’m not sure that clause would actually be enforceable. You prob don’t want to rock the boat while Section 21s are available though.
Once the renters’ reform bill bill becomes law, you could prob shift your payment to the 24th and I don’t think they’d be able to do anything about it at all. But I’d get proper advice about that from Shelter’s helpline before doing it.
I think this will be illegal under the renters rights bill when introduced. This is because that bill restricts rent in advance to one month whereas your landlord is requesting rent in advance of one month +5 days.
Yes, it will be illegal under the RRB and a case could even be made now that the 5 days early payment each month is an un-protected security deposit and subject to a penalty. I wouldnt spend actual money fighting that case though.
My asts are set up on whole calendar months ie 1st to end. My payment date is the 26th. Historically payments could take a few days to come through, not so much today. The 26th also allows a day in hand for february. It means you can just check all payments on the 1st, just simpler. Originally we did set payments on the first but found many would come in late, many dont pay by s/o
the new bill says rents are due on the start of a period but a tenant can choose to pay earlier. I wouldnt have thought this would apply retrospectively to existing asts but its still all supposition until the bill is actually passed
Paying a few days ahead means there’s never any dispute about whether paid by the due date due to delays in banks doing transfers or processing standing orders eg over weekends or bank holidays.
(Some do still only process on working days)
Anything in advance can be an issue for tenants eg if waiting for deposit back on a previous tenancy so it’s often a matter of negotiation I think.
So these sort of arrangements should also be about making sure everybody understands what’s due when etc