Returned rent cheques

[douglas8197]

Hi

Does anyone know what is considered an acceptable fee to charge a tenant if their rent cheque is returned from the bank because of insufficient funds?

[Melboy]

I honestly would be happy with my full rent cheque rather than trying to see what I could gain from charging extra for a bounced checque but having said that if you have incurred a charge by your bank for a bounced cheque then that charge should be paid for by your Tenant, whatever that charge is.

[Preston]

Hi

I agree with Melboy. The basic legal rule in any contract is that any charges you levy for non performance are reasonable and relect the actual costs - or a reasonable estimate of the costs - you have or are likely to incur.

For what its worth, the last returned cheque I had to deal with cost me about £17, so I generally put £20 in my tenancy agreement as the charge for this eventuality.

Hope this helps.

Preston

[Simon Dewsberry]

I would be far more interested in getting the rent paid in full than worrying about petty cash ...but once rent receive would charge £20

.....and get this put in your ast to make it clear what happens if rent is late etc

The Rodent