Claiming rent arrears from bad debting tenants: Law change helps landlords

Landlord Expert
By Landlord Expert January 22, 2010 13:21

New changes by the DWP mean that landlords are now able to claim arrears the day after a tenant has missed two payments in a row. The Residential Landlords Association (RLA) has hailed the decision as a significant victory for UK landlords.

The chairman of the RLA, Alan Ward, commented that the decision “effectively cuts the two-month wait to very little more than one month.”

Mr Ward went on to say that councils should now follow this guidance –“which will ease cash flow and financial losses for landlords who have been growing very wary of accepting housing allowance tenants in future.”

The RLA have been campaigning for more flexibility over this issue since the government introduced a system that saw Local Housing Allowance payments go to tenants, as opposed to going directly to the landlord.

The RLA also stated its belief that the situation for landlords would improve further if the Government allowed tenants to have their housing allowance paid direct to landlords from the start.

 

Landlord Expert
By Landlord Expert January 22, 2010 13:21

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