Utilities being cut off

Utilities being cut off – It’s a phenomenon that many of us will have considered, but few have actually had this happen to them. Many months of unpaid bills; letters from water companies, then suddenly a call from your tenants saying they have no water. Having your water cut off can be more than just a nuisance. What can you do to rectify the situation where tenants are not paying their bills?

Talk to the company

Landlords can have more influence and indeed more success talking to utility companies than tenants. Writing to them explaining a situation, giving assurances that bills will be paid and so on, will go some way to getting your services switched back on. You don’t want to be having to ring or spending time writing to utility companies, so firstly make it clear to your tenants that it is paramount they pay the bills.

Paying up

Security deposits can be used as a means of paying unpaid bills, however the deposit may not cover the whole amount due. If this happens, you have a bit of a problem, as you can’t leave your tenants without electricity or water. You may need to pay the difference yourself and make a claim on your landlord insurance at a later date.

The last resort

If the problem persists, it may be an indication of financial difficulty which may well prove problematic for your rental payments in the future. You may want to proceed with the last resort – eviction, before searching for new tenants. Make sure you get utility companies to forward letters to you as well as your tenants so that you can keep an eye on the situation and avert any problems if needs be.

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