Handling Late Payments

Handling Late Payments in Leaseora

Late rent payments can disrupt your cash flow and create administrative challenges. Leaseora provides tools and features to help you effectively manage late payments, automate late fee assessment, and implement collection strategies. This guide will walk you through the process of handling late payments in the Leaseora platform.

Configuring Late Fee Settings

Before you can effectively manage late payments, you need to configure your late fee settings:

1. Go to "Settings" > "Payment Settings" in your dashboard
2. Select the "Late Fees" tab
3. Configure the following settings:
   • Grace Period: Number of days after the due date before a payment is considered late
   • Late Fee Amount: The amount to charge for late payments
   • Late Fee Type: Fixed amount or percentage of rent
   • Maximum Late Fee: Cap on the total late fee that can be charged (optional)
   • Recurring Late Fees: Additional fees charged for each additional period the payment remains late
   • Late Fee Application: Automatic or manual application of late fees
4. Click "Save Late Fee Settings" to apply your configuration

Identifying Late Payments

Leaseora automatically identifies late payments based on your configured settings:

• Late Payment Dashboard: A dedicated section showing all overdue payments
• Payment Status Indicators: Visual indicators showing payment status (on time, pending, late)
• Aging Reports: Reports showing how long payments have been overdue
• Notifications: Automatic alerts when payments become late

To access the late payment dashboard:

1. Go to "Payments" in your dashboard
2. Select the "Late Payments" tab
3. View the list of all late payments across your properties
4. Use filters to sort by tenant, property, amount, or days overdue

Automatic Late Fee Assessment

If you've enabled automatic late fee assessment, Leaseora will handle the process for you:

1. When a payment becomes late (after the grace period), the system automatically adds the late fee
2. The tenant receives a notification about the late fee
3. The late fee is added to the tenant's balance
4. The fee appears on the tenant's next statement
5. If configured, additional recurring late fees are applied for continued non-payment

Manual Late Fee Assessment

If you prefer to review late payments before applying fees, you can use manual assessment:

1. Go to "Payments" > "Late Payments" in your dashboard
2. Select the late payment you want to assess a fee for
3. Click "Apply Late Fee"
4. Review the suggested fee amount (you can adjust it if needed)
5. Add any notes about the late fee
6. Click "Confirm" to apply the fee

Late Payment Communication

Effective communication is key to resolving late payment issues. Leaseora offers several communication tools:

Automated Late Payment Reminders

Configure automated reminders to be sent when payments are late:

1. Go to "Settings" > "Notifications" > "Late Payment Reminders"
2. Configure when reminders should be sent (e.g., 1 day late, 5 days late, etc.)
3. Customize the message content for each reminder
4. Select the delivery method (email, SMS, in-app notification)
5. Enable or disable automatic escalation for severely overdue payments

Manual Communication

For more personalized follow-up with tenants:

1. From the Late Payments dashboard, select a tenant
2. Click "Contact Tenant"
3. Choose your communication method (email, SMS, or in-app message)
4. Use one of the pre-written templates or create a custom message
5. Send the message and track when it's been viewed by the tenant

Payment Plans for Overdue Rent

For tenants experiencing temporary financial difficulties, you can set up payment plans:

1. From the tenant's profile, click "Create Payment Plan"
2. Enter the total amount due
3. Set up the payment schedule:
   • Number of installments
   • Payment frequency (weekly, bi-weekly, monthly)
   • Start date for the plan
4. Specify whether late fees will be waived or reduced
5. Add any terms or conditions for the payment plan
6. Send the plan to the tenant for review and acceptance
7. Once accepted, the system will automatically track payments against the plan

Accepting Partial Payments

Decide how to handle partial payments from tenants:

• Allow Partial Payments: Enable or disable the option for tenants to make partial payments
• Minimum Payment Amount: Set a minimum acceptable partial payment
• Late Fee Application: Determine if late fees apply to partial payments
• Payment Application Order: Configure how payments are applied (e.g., to late fees first, then rent)

To configure partial payment settings:

1. Go to "Settings" > "Payment Settings" > "Partial Payments"
2. Adjust the settings according to your preferences
3. Click "Save Settings" to apply your configuration

Escalation Procedures for Persistent Late Payments

For tenants with persistent late payment issues, Leaseora offers escalation tools:

1. Payment History Analysis: View a tenant's complete payment history to identify patterns
2. Late Payment Tracking: Track the frequency and duration of late payments
3. Formal Notices: Generate and send formal late payment notices
4. Legal Document Integration: Create legal notices that comply with local requirements
5. Case Management: Track the status of escalated cases

To access these tools:

1. Go to the tenant's profile
2. Select the "Payment History" tab to review their payment patterns
3. For persistent issues, click "Escalate" to access additional options
4. Choose the appropriate action based on your policies and local regulations

Reporting and Analytics for Late Payments

Leaseora provides reporting tools to help you analyze late payment trends:

• Late Payment Reports: Detailed reports on all late payments
• Tenant Payment Behavior: Analysis of payment patterns by tenant
• Property Performance: Late payment rates by property
• Seasonal Trends: Identification of seasonal patterns in late payments
• Collection Effectiveness: Metrics on how quickly late payments are resolved

To access these reports:

1. Go to "Reports" in your dashboard
2. Select "Payment Reports"
3. Choose "Late Payment Analysis"
4. Set your desired parameters and date range
5. Generate the report and export it if needed

Best Practices for Handling Late Payments

Frequently Asked Questions